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Meet IL Governor Bruce Rauner — Poster Boy For Struggle On Middle Class

Final fall, Illinois GOP candidate Bruce Rauner spent $63.9 million — $27.3 million of his personal money — to buy the right to occupy the Illinois Governor’s mansion.

Ferragamo Varina Patent Leather Flats PurpleNow that he’s in workplace his first strikes have confirmed that he is the poster boy for the Conflict on the Center Class.

Rauner is a hybrid of the worst traits of Mitt Romney and Wisconsin Governor Scott Walker. In actual fact, you may say he personally embodies the rationale why — although our financial system has grown 77% within the final 35 years — the wages of bizarre Individuals have been stagnant or actually declined.

For these who are unfamiliar with Rauner, all you might want to know is summed up in one temporary story. Early within the GOP main, Rauner made it clear that he wished to cut back Illinois’ minimal wage — and at one level even indicated he wished it abolished completely. But final year Rauner himself made more than $25,000 per hour — fifty-two million dollars per 12 months. That is right, he made more than a mean minimal wage worker makes all yr long in less than the primary hour of the first day of the yr.

Now, by the way, within the face of the overwhelming passage of a referendum calling for a rise within the state minimum wage, Rauner has grudgingly agreed to support an increase — of twenty-five cents per hour per 12 months over seven years. That’s barely greater than the rate of inflation.

Very like Romney, Rauner made his cash as an investor and speculator. After he purchased a lot of those businesses, he bled them of money.

His firms moved over 4,000 jobs abroad.
One of Rauner’s companies, Trans Healthcare Inc.owned over 200 nursing properties. The agency had judgments issued against it for over $2 billion for affected person neglect. Reasonably than repair the issues and pay the claims, Rauner’s investment firm sold Trans Healthcare to a company that then declared bankruptcy and dodged paying the claims of the abused residents.

Now that he is governor, Rauner has proposed draconian limits on the collective bargaining rights of unions representing state staff, chopping back on their pay, prohibiting employees from being able to negotiate over wages and benefits, and transferring all future state pension advantages into risky 401(ok) plans.

And he has declared battle on center class state worker salaries.
Rauner brazenly claims that state employees’ common wage of $64,000 per yr is just too excessive. This from a man who makes $64,000 in two and a half hours.

To justify his claims, Rauner argues that many state staff make more than their counterparts in the non-public sector or surrounding states. For example, he claims that Illinois state freeway employees make $forty nine,000 per year, which he says is more than the $36,000 average paid to state freeway workers in five neighboring states.

That is right, a guy who last year made $25,000 an hour speculating and flying round on a company jet, is furious that somebody who works forty hours a week pouring concrete, laying hot asphalt and fixing potholes — critical bodily work — makes as a lot all year as he does in two hours.

Rauner’s first major assault on the center class was an govt order giving state staff who’re lined by labor contracts the selection to profit from those contracts without paying a “fair proportion” contribution to support the union that negotiates and administers them.

Rauner — and other anti-union ideologues — declare that employees shouldn’t be “forced” to affix unions towards their will. In fact nobody is forced to affix a union. The provisions in labor agreements with state unions — in lots of states — require that after state workers have democratically chosen a bargaining agent, that staff who don’t wish to affix the union ought to pay a “fair proportion” contribution to help the portions of the union’s operations that negotiate and administer the provisions of the labor contract from which they are benefiting.

Note that they are not required to contribute to any of the political actions of the union.
This is the same principle we use at all ranges of democratic government. Once an election is held for mayor and the town council, you cannot refuse to pay taxes to help the functions of the federal government from which you profit. Metropolis government produces what economists refer to a “public goods”. They interact in activities that benefit everybody, even if you don’t “pay” for the services and products. That is why we now have taxes. In any other case there could be perverse incentive for “free riders” who would benefit however do not contribute.

The same is true with unions.
Rauner’s actions have nothing to do with giving employees a “selection”. They have everything to do with lowering the assets that can be found to unions — which he is decided to destroy.

Since unions — and collective bargaining — are the key weapons day-after-day folks have to boost their wages, his assault on unions is a direct assault on the center class and its future in America.

It’s not simply that Rauner drips with hypocrisy. His view of the world is emblematic of the huge distinction in perspective between most unusual Individuals and the privileged .01%.

Remember that America is richer right now than every other society in human historical past. Our per-capita GDP increased 77% over the last 35 years whereas average incomes of extraordinary individuals flat-lined. That occurred as a result of just about all the increases went into the pockets of the highest 1% — guys exactly like Rauner.

The foundations of the economic sport have been rigged to permit the Rauner crowd to siphon off nearly the entire increased productiveness of abnormal working individuals.

The consequence: corporate earnings are at record highs, the inventory market has posted record highs — and the share of nationwide revenue going to wages is at report lows.

Not only is that unfair and undemocratic — it is dangerous economics. If shoppers — the real job creators — do not have sufficient money in their pockets to create demand for the brand new services that outcome from higher productiveness, the economy will stagnate.

Rauner, however, is an ardent devotee of discredited “trickle down economics.” And it’s a must to admit, it has been fairly good for him. In spite of everything, the man owns 9 homes, including a new York penthouse and three ranches.

And “trickle down” has been pretty good to different multi-millionaires that run within the Rauner crowd.
The new York Instances just lately reported that the luxury goods market within the U.S. has been sturdy relative to the remainder of the world.

Within the United States, spending on personal luxury goods rose a steady 5 p.c final 12 months to about $73 billion, Bain estimates, compared with damaging growth in previous juggernauts like China and Russia.

“There’s an entire gancini belt ferragamo new generation of 30- and 40-yr-olds making thousands and thousands of dollars a 12 months in hedge funds and technology and actual property,” stated David Friedman, president of the wealth consultancy Wealth-X.

Milton Troche, 29, whose father runs a textile firm in New York, stated enterprise was looking up and that he felt flush enough to improve his wardrobe this year. “I wanted the bigger buckle,” Mr. Troche mentioned, stepping out together with his $450 belt from Ferragamo’s flagship store on Fifth Avenue. “You’ll be able to put on a T-shirt with it, but you still get the ladies.”

A lot of the rising wealth in America comes from equity markets which have carried out well, including to the wealth of higher-earnings Individuals who are most probably invested in stocks. In the United States, the rich even have comparatively extra of their money left over to spend, because of decrease top marginal earnings tax rates.

Powerful for Rauner and his crowd to grasp what it’s prefer to dwell on a minimal wage salary of $15,000 to $17,000 a year — and even to make ends meet on a middle class income like $sixty four,000 a 12 months. After all, they’re busy shopping for $450 belt buckles. That’s greater than every week’s pay for a minimal wage worker in Illinois.

Rauner and firm share assumptions which might be fully overseas to most extraordinary People.
A kind of assumptions is that wages must be set fully by “the invisible hand of the market” — like the costs of soybeans or corn.

Only drawback is that folks are not commodities to be purchased and bought. They are the point of the financial system.

There was a time, just over 160 years ago, when folks themselves had been purchased and bought — proper right here in America. Slavery is now illegal. But people like Rauner wish to return to an age when the labor of people could be bought and offered on an open market without restriction or regulation.

We all know from precise experience the place that sort of unregulated, union-free labor market leads: to little one labor, sweat shops, and 70-hour work weeks. That is what it was like in America before unions and the new Deal demanded that extraordinary folks be paid a residing wage. That is when most Individuals acquired the 2-day weekend, when little one labor was banned, and well being and security restrictions ended sweat outlets. That’s when America got a strong middle class.

To avoid those sort of restrictions, many companies — resembling Rauner’s — have outsourced jobs to rising economies the place they’ll still pay poverty wages, keep away from paying benefits and be freed from “burdensome” well being and safety necessities.

Their imaginative and prescient of the future of America is a society where they could make as a lot as they need no matter the results for ordinary Individuals — where they’re free to pay labor “whatever the market will bear.”

It’s that view of America that’s destroying the American center class.
For most individuals, being “middle class” means making sufficient to have a modicum of economic security. It means escaping the perilous existence of residing paycheck to paycheck — all the time one car repair or illness away from falling off the economic cliff.

For most individuals being “middle class” means with the ability to set something aside each month, having a pension that will assist a good retirement, and making enough to educate your children so that they will aspire to do a little higher than you did.

That American Dream requires a center class revenue, and $64,000 a year begins to qualify. The thirty-six thousand dollars a year Rauner would like to pay highway workers does not. And as President Obama stated in his State of the Union, if Rauner thinks someone can survive on a minimum wage wage, he should try it.

However what is particularly outrageous is that in a rustic that is richer than it has ever been, Rauner believes that state staff should not be paid middle class incomes.

If we’re to reverse the tide of rising revenue inequality, we must embrace a special paradigm for paying labor in America. Speculators and enterprise people needs to be free to make as much as they want. But first they should pay all of their workers a center class, living wage. No extra exploiting the work others do as a way to make yourself a multi-millionaire or billionaire. You are free to develop into fabulously wealthy, however solely after you’ve got shared what the corporate has earned with the employees who make it doable.

In Rauner’s state of the state, he expressed outrage that union workers obtained modest wage increases that were greater than the limited variety of non-union state employees. But that’s one point of unions — to lift the wages of abnormal folks.

That’s not an argument against unions. It is an argument for unions. Elevating the wages of extraordinary Individuals happens to be the most important priority in our financial system. That is exactly why every working individual in America ought to have the appropriate to collectively bargain over their wages and working conditions. Salvatore That is the explanation that the typical union worker makes more than the typical non-union worker.

If plutocrats like gancini belt ferragamo Rauner were not allowed to siphon off all of the rise in economic progress — if the principles of the financial sport weren’t rigged in their favor — America might afford to pay everyone a residing, center class wage.

However on the very least, we should always all be capable of agree that the individuals who we ourselves hire — who the general public hires to do our work — ought to all make middle class incomes. It can be shameful if they did not.

In fact Rauner is just looking out for himself and his associates, the identical means he did in non-public life. At the same time he proposed to chop the wages of strange state staff, he got here out firmly in opposition to converting the current Illinois revenue tax from a flat tax, where janitors pay the identical tax fee as billionaires, to a progressive revenue tax that asks those who have benefited most from our financial system to make the most important contributions in taxes.

A progressive earnings tax is one of the best — fairest way — to repair Illinois’ chronic fiscal issues. However Rauner would somewhat cut the revenue of bizarre center class public workers than ask the wealthy to pay their justifiable share.

And whereas we’re speaking about hypocrisy, how does Rauner explain that at the identical time he needs to cut the wages of extraordinary, center class state workers, the six-determine salaries of his newly-employed top workers common 36% increased than those of his Democratic predecessor Pat Quinn.

Rauner fooled some voters in the final election. Nonetheless others didn’t perceive the danger Rauner poses to the middle class and did not take the time to vote.

Now it is time to unfold the phrase throughout America: beware of Illinois Governor Bruce Rauner. He personally embodies the Warfare on the Center Class.

Robert Creamer is a long-time political organizer and strategist, and author of the guide: Stand Up Straight: How Progressives Can Win, out there on Amazon.com. He’s a partner in Democracy Partners and a Senior Strategist for People United for Change. Follow him on Twitter @rbcreamer.

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