Posts Tagged ‘workers’

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All but three of Detroit’s 97 schools stayed closed again today, the second day of teacher protests over their pay and the conditions for students in the city’s financially ailing school district.

The protests began on Monday, on Teacher Appreciation Day [ht: sm],

after Detroit Public Schools’ emergency manager Steven Rhodes announced in an email to teachers Friday that the city’s finances were so bad that it wouldn’t be able to make payroll after more than $48 million in state emergency aid runs out on June 30.

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In addition, teachers have tweeted photos of stained ceilings, disgusting bathrooms, and inadequate student lunches.

 

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May Day demonstrations are being held around the world—from France to South Korea.

In the United States,

Thousands are expected to rally. . .on Sunday for immigrant and worker rights and against what they see as hateful presidential campaign rhetoric.

Events are planned in cities from New York to Los Angeles to call for better wages for workers, an end to deportations and support for an Obama administration plan to give work permits to immigrants in the country illegally whose children are American citizens.

Organizers said they will also speak out against hateful rhetoric targeting immigrants, workers and women following remarks by leading Republican presidential contender Donald Trump. Trump has called for a wall on the border with Mexico and chided Democratic hopeful Hillary Clinton for playing the so-called “woman card.”

“In addition to fighting for workers’ rights, we are fighting for our dignity this time around, our self-respect,” said Jorge-Mario Cabrera, a spokesman for the Coalition for Humane Immigrant Rights of Los Angeles.

Here is a bit of the history of May Day:

April 25, 2016

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Fast Food Workers Protest For Increased Wages Ahead Of McDonald's Annual Shareholder Meeting

One week ago, the McDonald’s Corporation reported a 35-percent increase in profits (from $811.5 million in the period last year to $1.1 billion) in the quarter that ended 31 March. A few days later, former McDonald’s President and CEO Ed Rensi published an opinion piece in Forbes to explain why raising the minimum wage would be a huge mistake.

Let’s do the math: A typical franchisee sells about $2.6 million worth of burgers, fries, shakes and Happy Meals each year, leaving them with $156,000 in profit. If that franchisee has 15 part-time employees on staff earning minimum wage, a $15 hourly pay requirement eats up three-quarters of their profitability. (In reality, the costs will be much higher, as the company will have to fund raises further up the pay scale.) For some locations, a $15 minimum wage wipes out their entire profit.

Recouping those costs isn’t as simple as raising prices. If it were easy to add big price increases to a meal, it would have already been done without a wage hike to trigger it. In the real world, our industry customers are notoriously sensitive to price increases. (If you’re a McDonald’s regular, there’s a reason you gravitate towards an extra-value meal or the dollar menu.) Instead, franchisees can absorb the cost with a change that customers don’t mind: The substitution of a self-service computer kiosk for a a full-service employee.

What Rensi doesn’t mention is that U.S. taxpayers are subsidizing McDonald’s profits.

As Ken Jacobs reports,

Workers like Terrence Wise, a 35-year-old father who works part-time at McDonald’s and Burger King in Kansas City, Mo., and his fiancée Myosha Johnson, a home care worker, are among millions of families in the U.S. who work an average of 38 hours per week but still rely on public assistance. Wise is paid $8.50 an hour at his McDonald’s job and $9 an hour at Burger King. Johnson is paid just above $10 an hour, even after a decade in her field. Wise and Johnson together rely on $240 a month in food stamps to feed their three kids, a cost borne by taxpayers.

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In fact, according to a study by Jacobs, Ian Perry, and Jenifer MacGillvary (pdf) for the UC Berkeley Labor Center, 52 percent of fast-food workers make so little that they’re are on some form of public assistance.*

That’s the social cost of McDonald’s (and other fast-food corporations’) private profits.

 

*Note also in the chart above the following observation about nominally non-profit higher education in the United States: “high reliance on public assistance programs among workers isn’t found only in service occupations. Fully one-quarter of part-time college faculty and their families are enrolled in at least one of the public assistance programs analyzed in this report.”

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