bureaucracybusters

Archive for the ‘Business’ Category

MORE THAN THE “N-WORD”: PART TWO (OF FOUR)

In Bureaucracy, Business, Law, Social commentary on July 3, 2013 at 12:01 am

The media has focused exclusively on Paula Deen’s use of “nigger.” In doing so, it has completely ignored even more important aspects of the lawsuit filed against her.

Consider the allegations listed in the complaint filed by Lisa Jackson, who spent five years (2005 – 2010) as  General Manager for Uncle Bubba’s Oyster House, in Savannah, Georgia.  This is owned by Deen’s brother, Earl “Bubba” Hiers.

Uncle Bubba’s Oyster House

According to the complaint, employees at the restaurant were routinely subjected to “violent behavior,” which included “racial harassment, assault, battery and other humiliating conduct.”

Among those violations alleged in the complaint:

  • In Jackson’s presence, Hiers told another employee who had just gotten dentures: “I bet your husband is going to like that.”
  • Hiers told a joke to male and female staffers that described why men should have sex with flat-headed women: Because “you can sit your beer on top of her head while she is giving you a blow-job.”
  • Hiers told Jackson that he would like to replace the staff at Uncle Bubba’s with “Hooter’s Girls.”
  • At a weekly managers’ meeting, Hiers brought printouts of an email entitled, “Why Gay marriage Should Be Legal,” replete with pictures of lesbian sex.  Hiers passed the emails around the table for men and women–including Jackson–to see.
  • A meeting was scheduled by Karl Schumacher, the company’s Chief Financial Officer, and attended by James P. Gerard, attorney for the Paula Deen Family of Companies.  Its purpose: to address Hiers’ “frequent and outrageous sexual and racial comments.  In this meeting, in… Gerard’s office, Bubba Hiers discussed his interest in Web site pornography.”  He stated to Gerard: “Don’t tell me you don’t do that at night.”
  • In 2007, Deen placed Jackson in charge of food and serving arrangements for the wedding of her brother, Hiers.  Jackson asked Dean what look the wedding should have.  Deen replied: “I want a true Southern plantation-style wedding.  What I would really like is a bunch of little niggers to wear long-sleeve white shirts, black shorts and black bow ties, you know in the Shirley Temple days, they used to tap dance around.”  Deen laughed and added: “Now that would be a true Southern wedding, wouldn’t it?  But we can’t do that because the media would be on me about that.”
  • At Uncle Bubba’s Oysterr House restaurant, “African-American staff persons are required to use the back entrance for all purposes, including picking up their checks.  They were prohibited from using the front entrance.”
  • “African-American staff…are required to use one restroom that is in the back of the restaurant and is not the customer restroom.  White staff was allowed to use the customer bathroom.”
  • “African-American staff” who are “stationed at the back of [the] restaurant are not allowed to go to the front.”
  • Jackson hired two black hostesses, whose position “required them to be stationed in the front of the restaurant.  Bubba Hiers complained repeatedly about one hostess being out front and she was later fired for allegedly stealing a white customer’s purse.  The police were called and the young woman was searched, but she was not arrested and no charges were brought.  Mr. Hiers demanded that the other [black] hostess be moved to a position in the back…where she could not be seen by customers.”
  • Jackson was meeting with a vendor in her office at the restaurant when Hiers entered “and slammed the door behind him, stating, ‘I wish I could put all those niggers [in the kitchen] on a boat to Africa.'”
  • “Bubba Hiers confronted a [black] male kitchen staff[er] and repeatedly screamed at him, and physically and violently shook him.”
  • In Jackson’s presence, Hiers said to his black security guard and driver: “Don’t you wish you could rub all the black off you and be like me?”  The guard replied, “I’m fine the way I am.”  Hiers then said: “You just look dirty.  I bet you wish you could.”
  • Hiers stated in Jackson’s presence: “They should send President Obama to the oil spill in the Gulf [of Mexico] so he could nigger-rig it.”
  • In the presence of Jackson and  a vendor who traps wildlife, Hiers said: “You also got a bunch of coons in this kitchen you can trap.”
  • Hiers “told jokes using the word ‘nigger’ in front of the coordinator of a fundraising event at the Bethesda Boys Home.  The coordinator…expressed to Ms. Jackson her discomfort with Mr. Hiers and his language.”
  • During a meeting, Hiers “began beating on his chest and challenging anyone and everyone in the kitchen to fight him.  He screamed so loud that spit was coming out of his mouth, as he said: ‘Come get some.  Come on, you want a piece of me?  Meet me on the dock you mother fuckers.'”
  • After this outburst, Jackson “scanned the room in horror and saw her staff, recognizing the look of fear, disbelief and helplessness” on their faces.  “Mr. Hiers then stumbled out the back foor to his truck and he was gone.”

MORE THAN THE “N-WORD”: PART ONE (OF FOUR)

In Bureaucracy, Business, Law, Social commentary on July 2, 2013 at 12:15 am

Here’s a brief chronology of the downfall of celebrity chef Paula Deen:

On May 17, Deen gave a deposition in a $1.2 million discrimination lawsuit filed against herself and her brother, Earl “Bubba” Hiers, by Lisa Jackson, a former General Manager at one of her restaurants.

Earl “Bubba” Hiers and Paula Deen

On June 19, the National Enquirer released details about that deposition.  When asked if she had ever used the word, “nigger,” she replied: “Yes, of course,” as if it were the most natural thing in the world.

She claimed she used it when telling her husband about being held at gunpoint by a black bank robber.  When asked if she had used it since, she replied: “I’m sure I have, but it’s been a very long time.”

On June 20, the full unedited transcript of the deposition was leaked.

Since then, Deen has been caught up in a media frenzy–and the loss of most of her high-priced collaborators:

  • The Food Network
  • QVC’s Home Shopping Network
  • Smithfield Foods–a company specializing in pork products
  • Wal-Mart
  • Ceasars Entertainment
  • Novo Nordisk, a diabetes drug company
  • Sears Holdings Corporation, the owner of Sears and K-Mart
  • Walgreens

And although her latest book, Paula Deen’s New Testament: 250 Favorite Recipes All Lightened Up, had risen to Number 1 on Amazon.com, its publisher, Ballantine Books, announced that it had decided to cancel its upcoming publication.

The media has focused exclusively on Deen’s use of “nigger.”  In doing so, it has completely ignored even more important aspects of this lawsuit.

Consider the allegations listed in the complaint filed by Lisa Jackson, who spent five years (2005 – 2010) as General Manager for Uncle Bubba’s Oyster House, in Savannah, Georgia.

According to the complaint, managers at the restaurant–owned by Deen’s brother, Earl “Bubba” Hiers–often engaged in the following practices:

  • Subjecting Jackson to “violent behavior,” which included “racial harassment, assault, battery and other humiliating conduct.”
  • Upon her promotion to General Manager, Hiers told Jackson: “You’re everything I’ve never wanted but everything I need–a woman to clean my business up.”  He advised Jackson to “take it [his comment] as a compliment.”
  • For Jackson’s money-saving efforts, Karl Schumacher, the Chief Financial Officer for Paula Deen Enterprises, referred to her  as “almost Jewish,” and Hiers called Jackson “my little Jew girl.”
  • Paula Deen Enterprises paid for “Uncle Bubba’s restaurant expense to remedy violations of the Occupational Safety and health Act; as well as …to remedy City Health Code violations in Uncle Bubba’s restaurant kitchen.”
  • Hiers several times told Jackson: “If there’s one thing I’ve learned from my sister [Paula Deen] if it ever comes down to firing a guy or a girl, you let the girl go because they are a dime a dozen and you can always find a girl to come work for you but it’s hard to find good buys.”
  • Jackson often complained to upper management that “she was not paid a salary equal to [that of] her male counterparts.”
  • When she requested a raise in 2007, Schumacher told Jackson that Hiers would not permit a woman to be paid any more than she was already paid: “Bubba Hiers would have a heart attack if he knew you were being paid this much.”
  • When Jackson expressed concerns over compensation, Deen scheduled a meeting.  Pointing at the women managers there, Deen said: “You all need to work together and become one.”  The male managers at the meeting were never addressed.
  • “The male General Manager of the Lady & Sons Restaurant is paid substantially more than…Jackson despite his general incompetence, his performance of fewer duties than…Jackson, and his oppressive sexual and racial harassment of employees.”
  • Jackson “received a bonus, as other managers did, for approximately six months, but bonus payments were withdrawn and taken away by…Schumacher immediately upon her divorce.  This occurred in the context of numerous remarks by…Schumacher regarding his religious views of marriage and the sin of divorce.”
  • Schumacher stated in Jackson’s presence: “Women are stupid because they think they can work and have babies and get everything done.”
  • Jackson was told by Director of Operations Theresa Fueger: “You know the family dynamics in the company.  Certain people are not going anywhere, and if you don’t like it, you can go find another job.”
  • Hiers, Deen’s brother, “is a frequent customer of pornography Web sites and would download and view such sites at work.  In the small office he shared with Ms. Jackson, it was impossible for her to avoid viewing the pornography.”
  • “Alternately, he visited those Websites on the kitchen computer, often forgetting to log out; whereupon other employees involuntarily shared his pornography adventure.”
  • “On more than one occasion, Bubba Hiers requested that Ms. Jackson bring pictures of herself when she was young for him to view.  He told her, ‘You have nice legs’ and that two other employees are ‘ fat girls.'”
  • Schumacher “on multiple occasions, told jokes or ridiculed the President of the United States, using the word ‘nigger.'”

A CEO’S TEARS

In Business, Law, Politics, Social commentary on July 1, 2013 at 12:01 am

Break out the handkerchiefs.  A CEO is about to cry.

When the Affordable Care Act takes full effect, Papa John’s Pizza will change in two ways.

First, it will be forced to do something it hasn’t done since its founding in 1984: Offer healthcare coverage to its 16,5000 employees or pay a penalty to the government.

Second, according to the company’s CEO, John Schnatter, the prices of his pizzas will go up.

 John Schnatter

How far up?

By as much as eleven to fourteen cents price increase per pizza, or fifteen to twenty cents per order.

But Schnatter isn’t going to take this lying down.  He’s determined to pass along those costs to his customers.

“If Obamacare is in fact not repealed,” Schnatter told Politico, “we will find tactics to shallow out any Obamacare costs and core strategies to pass that cost onto consumers in order to protect our shareholders’ best interests.”

After all, why should a multi-million-dollar company show any concern for those who make its profits a reality?

Consider:

  • Papa John’s is the third-largest pizza takeout and delivery chain in the United States.
  • Its 2012 revenues were $318.6 million, an 8.5 percent increase from 2011 revenues of $293.5 million.
  • Its 2012 net income was $14.8 million, compared to its 2012 net income of $12.1 million.

Click here: Papa John’s turns in strong domestic and international Q2 | PizzaMarketPlace.com

Nor should anyone expect Schnatter to take a pay cut, just so his employees can obtain medical care when they need it.

Schnatter’s total calculated compensation for 2011 came to $2,745,219.

Click here: John Schnatter: Executive Profile & Biography – Businessweek

“We’re not supportive of Obamacare, like most businesses in our industry,” Schnatter–a supporter of Mitt Romney–admitted in an interview with Politico.

To demonstrate his opposition to providing medical insurance for all Americans, Schnatter hosted a fundraising event for Mitt Romney at his own Louisville, Kentucky mansion in May.

The luxurious setting for the fundraiser gave Romney a rush of pure, plutocratic ecstasy.

“What a home this is,” gushed Romney.  “What grounds these are, the pool, the golf course.

“You know, if a Democrat were here he’d look around and say no one should live like this. Republicans come here and say everyone should live like this.”

John Schnatter’s estate

Of course, Romney conveniently ignored a brutally ugly fact:

For the vast majority of Papa John’s minimum-wage-earning employees–many of them working only part-time–the odds of their owning a comparable estate are non-existent.

John Schnatter is not the first pizza magnate to attack proposed changes to federal health care.

In 1993, Godfather’s Pizza CEO Herman Cain charged that President Bill Clinton’s proposed health care reform law would cost his company Godfather’s Pizza money and jobs.

“For many many businesses like mine, the cost of your plan is simply a cost that will cause us to eliminate jobs,” Cain told Clinton in a famous exchange.

In a typical demonstration of corporate thinking, Judy Nichols, a Papa John’s franchise owner in Beaumont, Texas, said:

“I have two options, I can stop offering coverage and pay the $2,000 fine, or I could keep my number of staff under 50 so the mandate doesn’t apply,” she told Legal Newsline.

In short: Defy the law, and employee healthcare needs be damned.

Nichols added that the the law might cost her $20,000 to $30,000 in taxes: “Obamacare is making me think about cutting jobs instead,” she said.

Translation: If you force me to behave responsibly, I’ll just have to take it out on willing-to-work Americans.

So how can America cope with behavior that destroys not only lives but the economy as well?

By passing–and vigorously enforcing–a nationwide Employers Responsibility Act.

Among its provisions:

Employers would be required to provide full medical and pension benefits for all employees, regardless of their full-time or part-time status.

Increasingly, employers are replacing full-time workers with part-time ones—solely to avoid paying medical and pension benefits.  Requiring employers to act humanely and responsibly toward all their employees would encourage them to provide full-time positions—and hasten the death of this greed-based practice.

The seeking of “economic incentives” by companies in return for moving to or remaining in cities/states would be strictly forbidden.

Such “economic incentives” usually:

  1. allow employers to ignore existing laws protecting employees from unsafe working conditions;
  2. allow employers to ignore existing laws protecting the environment;
  3. allow employers to pay their employees the lowest acceptable wages, in return for the “privilege” of working at these companies; and/or
  4. allow employers to pay little or no business taxes, at the expense of communities who are required to make up for lost tax revenues.

Employers who continue to make such overtures would be prosecuted for attempted bribery or extortion:

  1. Bribery, if they offered to move to a city/state in return for “economic incentives,” or
  2. Extortion, if they threatened to move their companies from a city/state if they did not receive such “economic incentives.”

This would

  • protect employees against artificially-depressed wages and unsafe working conditions;
  • protect the environment in which these employees live; and
  • protect cities/states from being pitted against one another at the expense of their economic prosperity.

LIFE LESSONS FROM PAULA DEEN: PART THREE (END)

In Bureaucracy, Business, Law, Social commentary on June 28, 2013 at 12:14 am

Celebrity Chef Paula Deen, her brother Earl “Bubba” Hiers, her company, and the corporations that operate a pair of restaurants she owns in Savannah, Georgia., are being sued by former employee Lisa Jackson.

A complaint filed in the U.S. District Court for the Southern District of Georgia in November, 2012, claimed that she was subjected to “violent, sexist, and racist behavior” during her five years’ employment by Deen.

In the deposition she filed in May, 2013, she proved to be her own worst enemy.  Consider the following:

Speaking of her employee, Karl Schumacher, Deen said:

A.  Karl is the most judgmental person I know.  And out of every team member on our team, he is certainly the most prejudice.

Q.  Prejudice against who?

A.  You name it.

Q.  African-Americans?

A.  Gays, you name it. If you drink, you’re a bad person.  If you use four-letter words, you’re a bad person.  If you don’t think like he thinks, you’re a bad person.

Q.  Is he–?

A.  He is a one-man jury.

Stupid Mistake #16:  She admits that she had retained an employee who was openly prejudiced toward a wide range of people: “Gays, you name it.”

Q.  Is he prejudice against African-Americans?

A.  I–no, I don’t–no, I would say the answer to that one would be no.

Stupid Mistake #17:  Having already admitted the Schumacher was “a one-man jury” and “the most prejudice” of her employees, Deen suddenly claims he isn’t prejudiced against blacks. 

MackWorks, a business consulting firm, conducted an investigation of Uncle Bubba’s, which is owned by her brother, Earl “Bubba” Hiers.

Q.  Okay.  And in order to determine that it was the opinion of these high-priced consultants that Miss Jackson had been the victim of discrimination sufficient to give her cause to file an EEOC [U.S. Equal Employment Opportunity Commission] all you would have had to do was read that report, correct?

A.  I didn’t read the report.

Q.  Okay.  And what, if any, investigation have you done to determine if it is your brother who is lying, as opposed to Miss Jackson and Mr. Schumacher and the people at MackWorks?

A.  I know my brother.  I know his character.  If I ask him something, he would not lie to me, nor would I to him.  There was nothing to investigate.

Stupid Mistake #18:  After an independent consulting firm gives her a scathing report about her brother’s restaurant, she doesn’t read it. 

Stupid Mistake #19:  She admits she didn’t read it.

Stupid Mistake #20:  She admits she took no action to discover the truth for herself: “There was nothing to investigate.”

* * * * *

I have not searched through the entire deposition as given by Paula Deen.  But the portion I have reviewed convinces me this was a lawsuit–and a disaster–waiting to happen.

The media has focused its attention on Deen’s admission to having used the “N-word.”  But clearly she was running a dysfunctional operation–replete with alcoholism, racial prejudice, sexual harassment and theft.

Much has been made of Deen’s serving as an ambassador of Southern culture and cooking.  But if only some of the accusations made against her hold up, she must also serve as an ambassador of a South decent Americans want to forget–and forever put behind them.

That was definitely an era when blacks knew their place–which was as slaves in the kitchens or fields of the Southern planter class who owned them.

According to Jackson, those are the days Deen would love to return to.

As proof, she cited an exchange that occurred when she was appointed by Deen to handle the catering and staff for Bubba’s wedding in 2007.

When she asked Deen what the servers should wear, Deen allegedly replied:

“Well what I would really like is a bunch of little niggers to wear long-sleeve white shirts, black shorts and black bow ties, you know in the Shirley Temple days, they used to tap dance around.

“Now, that would be a true Southern wedding wouldn’t it? But we can’t do that because the media would be on me about that.”

Deen has given lip service to knowing that the days of Southern racism are past.  But according to the complaint filed against her by her former employee, Lisa Jackson, that past remains very much alive:

  • Requiring black employees to use separate bathrooms and entrances from whites.
  • Holding black employees to “different, more stringent standards” than whites.
  • Allowing her brother, Earl “Bubba” Hiers, to regularly made offensive racial remarks.
  • Allowing Hiers to make inappropriate sexual comments.
  • Allowing Hiers to force the plaintiff, Lisa Jackson, to look at pornography with him.
  • Allowing Hiers to often violently shake employees.
  • Allowing Hiersto come to work in “an almost constant state of intoxication.”
  • Enabling Hiers’ behavior by ignoring Jackson’s efforts to discuss his behavior.
  • Holding “racist views herself.”

Many of Deen’s supporters have claimed she is the victim of anti-Southern prejudice.

But the truth appears that only in the South could she have run so gigantic and lucrative an empire for so long in such prejucial and dysfunctional fashion.

The wonder is not that the Food Network refused to renew her contract after June, 2013.  The wonder is that she has managed to stay in business this long.

LIFE LESSONS FROM PAULA DEAN: PART TWO (OF THREE)

In Bureaucracy, Business, Law, Social commentary on June 27, 2013 at 12:00 am

Celebrity Chef Paula Deen, her brother Earl “Bubba” Hiers, her company, and the corporations that operate a pair of restaurants she owns in Savannah, Georgia, are being sued by her former employee Lisa Jackson.

A complaint filed in the U.S. District Court for the Southern District of Georgia in November, 2012, claimed that she was subjected to “violent, sexist, and racist behavior” during her five years’ employment by Deen.

There are many lessons to be learned from the deposition Deen gave in the case in May.  Such as:

Q, Okay.  Have you used it [the “N-word”] since then?

A.  I’m sure I have, but it’s been a very long time.

Stupid Mistake #7:  Having admitted she used it in the past, she compounds her mistake by admitting she had used it since. 

Stupid Mistake #8:   There is an entirely legal way to avoid incriminating oneself–and being prosecuted for perjury.  It’s contained in the words: “Not that I can recall.”

Q. Can you remember the context in which you have used the N word?

A.  No.

Q.  Has it occurred with sufficient frequency that you cannot recall all of the various context in which you’ve used it?

A.  No.

Q.  Well, then tell me the other context in which you’ve used the N word.

A.  I don’t know, maybe in repeating something that was said to me.

Q.  Like a joke?

No, probably a conversation between blacks.  I don’t–I don’t know.

Stupid Mistake #9:  The vast majority of restaurant kitchens are staffed by blacks or Hispanics, whose exchanges are often obscene and homophobic.  If Deen had said she had quoted such a conversation between employees, she could have legitimately claimed she did so entirely for the sake of accuracy.  She could have blamed them for using the  N-word, and cast herself strictly in the role of reporter.

Back to the deposition:

Q.  Okay.

A.  But that’s just not a word that we use as time has gone on.  Things have changed since the 60s in the South.  And my children and my brother object to that word being used in any cruel or mean behavior.

Q.  Okay.

A.  As well as I do.

Q.  Are you aware that your brother has admitted to using that word at work?

A.  I don’t know about that.

Stupid Mistake #10:  She had previously admitted to attending her brother’s deposition, where he admitted to, among other offenses, using the N-word in the workplace.  So this is a direct contradiction of her earlier admission.

Q  Okay.  Now, if you had learned of Mr. Hiers engaging in racially or sexually inappropriate behavior in the workplace, what, if any, actions would you have taken?

A.  I certainly would have addressed it.

Stupid Mistake #11:  Previously she had been asked: “Did any of the things that your brother admitted to doing, including…using the N word in the workplace, did any of that conduct cause you to have any concerns about him continuing to operate the business?”  And she had replied: “No.”  So this amounts to yet another contradiction.

Q.  Have you ever addressed Mr. Hiers’ racially or sexually inappropriate conduct?

A. No.

Stupid Mistake #12:  She admitted to having learned about her brother’s use of the N-word in the workplace–and then admitted to having never addressed it.

Q.  And you are aware of his admitting to engaging in racially and sexually inappropriate  behavior in the workplace in his deposition in this case?

A.   No.

Stupid Mistake #12:  This directly contradicts her previous admission that she had learned of his engaging in such behavior during his deposition.

Q.  Are you aware of Mr. Hiers admitting that he engaged in racially and sexually inappropriate behavior in the workplace?

A.  I guess.

Q.  Okay.

A.  If I was sitting here I would have heard it.

Stupid Mistake #13:  She admits once again to having been apprised of her brother’s offensive behavior.

Q.  Okay.  Well, have you done anything about what you heard him admit to doing?

A.  My brother and I have had conversations.  My brother is not a bad person.  Do humans behave inappropriately?  At times, yes.  I don’t know one person that has not.  My brother is a good man.  Have we told jokes?  have we said things that we should not have said, that–yes, we all have.  We all have done that, every one of us.

Stupid Mistake #14:  She admits to having talked with her brother about his offensive behavior–but she did not say she did anything to stop it or punish him for it.

Q.  You said you have had such conversations with [your brother]. When did you do so?

A.  When Karl told me he was stealing, I addressed that with Bubba.

Q.  And as a result of Mr. Hiers stealing, he received a pay increase and the money he had taken was recharacterized as wages, is that correct?

A.  I don’t know how it was settled.  I know that Karl was paying Lisa Jackson more than my brother was being paid, so if there was a salary increase, it would have been long overdue.

Stupid Mistake #15:  She admits that even though she learned that one of her employees was stealing from her, she had nevertheless retained him.

LIFE LESSONS FROM PAULA DEEN: PART ONE (OF THREE)

In Bureaucracy, Business, Law, Social commentary on June 26, 2013 at 12:01 am

The purpose of this website is to highlight the ways public and private bureaucracies actually operate–as opposed to how they usually want others to believe they operate.

Occasionally, a case comes along that is so filled with blatant violations of law and common sense that it offers a road map of what others should do to avoid similar disaster.

Such a case is that of celebrity chef Paula Deen.

Paula Deen

Let’s start at the beginning.

Deen, her brother Earl “Bubba” Hiers, her company, and the corporations that operate a pair of restaurants she owns in Savannah, Georgia, are being sued by former employee Lisa Jackson.

A complaint filed in the U.S. District Court for the Southern District of Georgia in November, 2012, claimed that she was subjected to “violent, sexist, and racist behavior” during her five years’ employment by Deen.

Jackson’s complaint describes her as a “white female” who has biracial nieces.

It was for that reason that she left Uncle Bubba’s Oyster House, which was run by Hiers, in August, 2010.

Jackson’s complaint alleges the following:

  • Black employees were required to use separate bathrooms and entrances from whites.
  • Black employees were held to “different, more stringent standards” than whites.
  • Hiers regularly made offensive racial remarks.
  • Hiers made inappropriate sexual comments.
  • Hiers forced Jackson to look at pornography with him.
  • Hiers often violently shook employees.
  • Hiers came to work in “an almost constant state of intoxication.”
  • Dean enabled Hiers’ behavior by ignoring Jackson’s efforts to discuss his behavior.
  • Deen “holds racist views herself.”

The allegation that black employees were ordered to use separate bathrooms and entrances harkens back to the ugly days of the pre-civil rights South.  That was an era where most blacks knew their place–or were murdered by the Ku Klux Klan.

In May, 2013, Deen gave her own deposition in the case.  She denied many of the allegations against Hiers-–but ended up admitting that she was aware of his offensive behaviors:

Q.  Okay.  Are you aware–-you were here during your brother’s deposition, right?

A.  Yes.

Q.  So you are aware of the things that he’s admitted to?

A.  Absolutely.

Q.  Did any of the things that your brother admitted to doing, including reviewing–-reviewing pornography in the workplace, using the N word in the workplace, did any of that conduct cause you to have any concerns about him continuing to operate the business?

A.  No.  My brother and I, 25 years ago…each started a business and we each had $200 to start that business.  My brother built the most successful long-service business in Albany, Georgia, with his $200.  My brother is completely capable unless he’s being sabotaged.

Stupid Mistake #1:  Deen acknowledged that, if she hadn’t known about her brother’s behavior prior to his deposition, she was present during this and thus learned about it then.

Stupid Mistake #2:  Deen acknowledged that even after she officially became aware of his behavior, she did not feel there was any reason to sever him from the company.

Getting back to Deen’s deposition:

Q.  Now, does his sense of humor include telling jokes about matters of a sexual nature?

A.  We have all told off-colored jokes.

Q.  Okay.  Does his sense of humor include telling jokes of a racial nature?

A.  I’m sure those kind of jokes have been told.  Every man I’ve ever come in contact with has one.

Stupid Mistake #3:  Deen acknowledged that off-color jokes were told in her workplace, and that she was clearly aware of it.

Stupid Mistake #4:  Deen made light of the telling of jokes that the vast majority of employers would not tolerate in their workplaces.

Then came–for Deen–the most deadly part of the deposition:

Q.  Okay.  Miss Deen, have you told racial jokes?

A.  No, not racial.

Q.  Okay, have you ever used the N word yourself?

A.  Yes, of course.

Stupid Mistake #5:  She knew that the charge of racial discrimination stood at the very heart of the lawsuit facing her.  Yet, when asked if she had ever used the N-word, she replied, “Yes, of course,” as if this were the most natural thing in the world.

Q.  Okay.  In what context?

A.  Well, it was probably when a black man burst into the bank that I was working at and put a gun to my head.

Q. Okay, and what did you say?

A.  Well, I don’t remember, but the gun was dancing all around my temple.  I didn’t…feel real favorable towards him.

Q.  Okay.  Well, did you use the N word to him as he pointed a gun in your head at your face?

A.  Absolutely not.

Q.  Well, then, when did you use it?

A.  Probably in telling my husband.

Stupid Mistake #6:  What is discussed between husband and wife is protected legally as marital privilege.  Her attorney should have objected and told her not to answer the question.  If she had not admitted to using it privately with her husband, she might not have been asked if she had used it since then.

FIRST AMENDMENT DANGERS

In Business, Law, Social commentary on June 13, 2013 at 12:07 am

WARNING: Believing that the First Amendment gives you the legal right to express your opinion may be hazardous to your career.

The First Amendment to the United States Constitution says: “Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.”

Of course, that refers only to Congress.  It says nothing about employers–and especially those self-appointed pseudo-gods who claim to be the personification of virtue and infallibility.

If you doubt it, just ask Johnny Cook, who until recently worked as a bus driver for the Haralson County Middle School in Georgia.

In late May, a sixth-grade student boarding Cook’s school bus said he was still hungry.  Cook asked why, and the student said he hadn’t been given any lunch.

The reason: He had been forty cents short for buying a reduced lunch.  So he hadn’t been given anything, not even the peanut butter offered to everyone else.

Furious, Cook vented his spleen on his Facebook page on May 21:

“This child is already on reduced lunch [program] and we can’t let him eat. Are you kidding me? I’m certian  there was leftover food thrown away today.

“But kids were turned away because they didn’t have .40 on there account. As a tax payer I would much rather feed a child than throw it away. I would rather feed a child than to give food stamps to a crack head.”

Just two days later, Cook was fired over that post.

Johnny Cook and friends

The “official reason,” as given by Superintendent Brett Stanton, was that Cook had violated the school’s social media policy by daring to express his opinion publicly.

The policy states:

Students who post or contribute any comment or content on social networking sites that cause a substantial disruption to the instructional environment are subject to disciplinary procedures.

“Employees who post or contribute any comment or content on social networking sites that causes a substantial disruption to the instructional environment are subject to disciplinary procedures up and including termination.”

This is similar to the policies–and atmosphere–of the Joseph McCarthy “smear and fear” era of the 1950s.  You didn’t have to actually be proven an actual Communist, or even a Communist sympathizer.

All that was neeeded to condemn you to permanent unemployment was to become “controversial.”  That way, the employer didn’t have to actually prove the employee’s unfitness.

The Almighty Employer need only declare: “Your usefulness to me is over.”

Consider the statement offered by Superintendent Stanton:  “I can assure you it did not happen,” he told the CBS affiliate in Atlanta.

And how could he be so certain?  Because, said Stanton, he had thoroughly investigated the incident.

“The video surveillance footage clearly shows that the student never went through the lunch lines at the county middle school,” Stanton said.

Therefore, Stanton said, the boy couldn’t have been offered the bagged lunch for students in his situation.

When asked if someone should have noticed the boy wasn’t eating lunch, he had a ready excuse for that: “When you have almost 1,000 students, it’s very difficult to notice.”

Stanton wouldn’t discuss Cook’s termination because it’s a personnel matter, but did say the school district has a strict Facebook policy.

CBS Atlanta contacted the sixth-grader’s family–who backed up Cook’s story.

Cook, who is married and the father of two kids, told CBS Atlanta that he felt in his “heart of hearts the kid was telling the truth.”

A petition has been posted to Change.org demanding that Cook be reinstated.  It has so far gained more than 10,000 signatures.

Nor is Cook the only victim of employers who have no regard for the First Amendment.

Ashley Warden, a waitress at an Oklahoma City Chili’s insulted “stupid cops” on her Facebook page.   In 2012, her potty-training toddler pulled down his pants in his grandmother’s front yard–and a passing officer gave Warden a public urination ticket for $2,500.

Warden was quickly fired.  In an official statement, Chilli’s gave this excuse:

“With the changing world of digital and social media, Chili’s has Social Media Guidelines in place, asking our team members to always be respectful of our guests and to use proper judgement when discussing actions in the work place.  After looking into the matter, we have taken action to prevent this from happening again.”

Put more honestly: “We have taken action to prevent” other employees from daring to exercise their own First Amendment rights.

Employers need to be legally forced to show as much respect for the free speech rights of Americans as Congress is required to.

Until this happens, the workplace will continue to resemble George Orwell’s vision of 1984–a world where anyone can become a “non-person” for the most trivial of reasons.

GREED-TESTING FOR CEOS: PART TWO (END)

In Bureaucracy, Business, History, Politics on May 22, 2013 at 12:34 am

Robert Benmosche, the CEO of American International Group (AIG) recently offered some blunt advice to college graduates searching for work.

“You have to accept the hand that’s been dealt you in life,” Benmosche said in an interview on Bloomberg Television. “Don’t cry about it. Deal with it.”

As is typical of one-percenters, Benmosche blames willing-to-work college graduates for the refusal of rich employers to offer jobs instead of excuses.

AIG’s way of “accepting the hand that’s been dealt you in life” was to go crying to the Federal Government for a bailout loan–which eventually ballooned to $182 billion.

If college graduates should “deal with” the hardships of finding a responsible, hiring-inclined employer with a stiff upper lip, as Benmosche advises, the same advice should work wonders on greed-fueled CEOs.

Greed-test CEOs for future government loans.

After all, drug-testing welfare recipients has become the new mantra for Republicans.

Some bills have even targeted people who seek unemployment insurance and food stamps, despite scanty evidence that the poor and jobless are disproportionately on drugs.

The concept of background screening is actually sound. But Republicans are aiming it at the wrong end of the economic spectrum.

Since 2008, the government has handed out billions of dollars in bailouts to CEOs of the wealthiest corporations in the country.

The reason: To rescue the economy from the calamity produced by the criminal greed and recklessness of those same corporations.

In 2008, Alan Greenspan, the former chairman of the Federal Reserve, testified before Congress about the origins of the Wall Street “meltdown.”

He admitted that he was “shocked” at the breakdown in U.S. credit markets and said he was “partially” wrong to resist regulation of some securities.

“Those of us who have looked to the self-interest of lending institutions to protect shareholder’s equity–myself especially–are in a state of shocked disbelief,” said Greenspan, who had ruled the Fed from 1987 to 2006.

As a disciple of the right-wing philosopher, Ayan Rand, Greenspan had fiercely held to her belief that “The Market” was a divine institution. As such, “it” alone knew what was best for the nation’s economic prosperity.

“Enlightened self-interest,” he believed, would guarantee that those who dedicated their lives to making money would not allow mere greed to steer them–and the country–into disaster.

As he saw it, any attempt to regulate greed-based appetites could only harm that divine institution.

Greenspan proved wrong. And the nation will be literally paying for such misguided confidence in profit-addicted men for decades to come.

So if Republicans want to protect the “poor, oppressed taxpayer,” they should demand background investigations for those whose addiction truly threatens the economic future of this country.

That is–the men (and occasionally women) who run the nation’s most important financial institutions, such as banks, insurance and mortgage companies.

Thus, in the future, all CEOs–and their topmost executives–of financial institutions seeking Federal bailouts should be required to:

  • Undergo “full field investigations” by the FBI and IRS.
  • Submit full financial disclosure forms concerning not only themselves but all members of their immediate families.
  • Be subject to Federal prosecution for perjury if they provide false information or conceal evidence of criminal violations.
  • Periodically submit themselves for additional background investigation.
  • Be subject to arrest, indictment and prosecution if the background investigation turns up evidence of criminal activity.

In addition:

  • If a bailout-seeking financial institution refuses to comply with these criteria, it should be refused the loan.
  • If a CEO and/or other top officials are judged ineligible for a loan, the company should be asked to replace those executives with others who might qualify.
  • Those alternative executives should be subject to the same background investigation requirements as just outlined.
  • If the institution refuses to replace those executives found ineligible, the Government should refuse the loan.
  • If the Government is forced to take over a troubled financial institution, its CEO and top executives should be replaced with applicants who have passed the required security screening.

The United States has a long and embarrassing history in worshipping wealth for its own sake. Part of this can be traced to the old Calvinistic doctrine that wealth is a proof of salvation, since it shows evidence of God’s favor.

Another reason for this worship of mammon is the belief that someone who is wealthy is automatically endowed with wisdom and integrity.

Following these beliefs to their ultimate conclusion will transform the United States into a plutocracy–a government of the wealthy, by the wealthy, for the wealthy.

Every day we see fresh evidence of the destruction wrought by the unchecked greed of wealthy, powerful men.

When they–and their paid shills in Congress–demand, “De-regulate business,” it’s essential to remember what this really means.

It means: “Let criminals be criminals.”

GREED-TESTING FOR CEOS: PART ONE (OF TWO)

In Bureaucracy, Business, History, Politics, Social commentary on May 21, 2013 at 1:28 am

Robert Benmosche, the CEO of American International Group (AIG) has some blunt advice to college graduates searching for work in a tight job market.

“You have to accept the hand that’s been dealt you in life,” Benmosche said in an interview on Bloomberg Television. “Don’t cry about it. Deal with it.”

Typical advice from a one-percenter whose company, AIG, suffered a liquidity crisis when its credit ratings were downgraded below “AA” levels in September 2008.

And how did AIG “deal with” its own crisis?  It went crying to its Uncle Sugar, the United States Government, for a bailout.

Which it promptly got.

The United States Federal Reserve Bank, on September 16, 2008, made an $85 billion loan to the company to meet increased collateral obligations resulting from its credit rating downgrade–and thus saving it from certain bankruptcy.

In return, the Government took an 80% stake in the firm.

(The bailout eventually ballooned to $182 billion in exchange for a 92%  stake.)

College graduates, said Benmosche, need to seize the opportunities that become available to them, even if their options are limited.

“They want me to talk to the students and give them a sense of encouragement, especially with the high unemployment,” said Benmosche.

“My advice will be, ‘Whatever opportunity comes your way, take it. Take it and treat it as if it’s the only one that’s coming your way, because that actually may be the truth.’”

Of course, willing-to-work college graduates who can’t find willing-to-hire employers won’t be able to count on a generous bailout from the Federal Government.

To which most of them will owe hundreds of thousands of dollars in student loans.

It’s long past time to apply to “untouchable” CEOs like Robert Benmosche the same criteria that right-wing Republicans demand be applied to welfare recipients.

Throughout the past year Republican lawmakers have pursued welfare drug-testing in Congress and more than 30 states.

Some bills have even targeted people who claim unemployment insurance and food stamps, despite scanty evidence the poor and jobless are disproportionately on drugs.

The concept of background screening is actually sound. But Republicans are aiming it at the wrong end of the economic spectrum.

Since 2008, the government has handed out billions of dollars in bailouts to the wealthiest corporations in the country.

The reason: To rescue the economy from the calamity produced by the criminal greed and recklessness of those same corporations.

For example:

  • The Troubled Asset Relief Program (TARP) has invested $118.5 billion in restoring liquidity to the financial markets.
  • Federal Reserve rescue efforts: $1.5 trillion invested.
  • Federal stimulus programs designed to save or create jobs and jumpstart the economy from recession. $577.8 billion invested.
  • American International Group: Multifaceted bailout to help insurers through restructuring, minimize the need to post collateral and get rid of toxic assets. $127.4 billion invested.
  • FDIC bank takeovers: Cost to FDIC fund that insures losses depositors suffer when a bank fails. $45.4 billion billion invested.
  • Other financial initiatives designed to rescue the financial sector. $366.4 billion invested.
  • Other housing initiatives designed to rescue the housing market and prevent foreclosures. $130.6 billion invested.

Total of federal monies invested: $3 trillion.

It’s important to note that these figures–supplied by the Federal Reserve, Treasury Department, Federal Deposit Insurance Corporation, Congressional Budget Ooffice and the White House–date from November 16, 2009.

And it’s equally important to remember that welfare recipients did not

  • hold CEO positions at any of the banks so far bailed out;
  • run such insurance companies as American International Group (AIG);
  • administer the Federal Home Loan Mortgage Corporation, known as Freddie Mac;
  • command the Federal National Mortgage Association, known as Fannie Mae.

The 2010 documentary “Inside Job” chronicles the events leading to the 2008 global financial crisis. One of its most insightful moments occurs at a party held by then-Treasury Secretary Henry Paulson.

“We can’t control our greed,” the CEO of a large bank admits to his fellow guests.

“You should regulate us more.”

Greed is defined as an excessive desire for wealth or goods. At its worst, greed trumps rationality, judgment and concern about the damage it may cause.

Greed begins in the neurochemistry of the brain. A neurotransmitter called dopamine fuels our greed. The higher the dopamine levels in the brain, the greater the pleasure we experience.

Cocaine, for example, directly increases dopamine levels. So does money.

Harvard researcher Hans Breiter has found, via magnetic resonance imaging studies, that the craving for money activates the same regions of the brain as the lust for sex, cocaine or any other pleasure-inducer.

Dopamine is most reliably activated by an experience we haven’t had before. We crave recreating that experience.

But snorting the same amount of cocaine, or earning the same sum of money, does not cause dopamine levels to increase. So the pleasure-seeker must increase the amount of stimuli to keep enjoying the euphoria.

In time, this incessant craving for pleasure becomes an addiction. And feeding that addiction–with ever more money–becomes the overriding goal.

Thus, the infamous line–”Greed is good”–in the 1987 film, “Wall Street,” turns out to be both false and deadly for all concerned.

But the situation need not remain this way.

HOW TO BE A SMARTER EXECUTIVE: PART TWO (END)

In Bureaucracy, Business, History, Self-Help on May 14, 2013 at 12:00 am

I returned, and saw under the sun, that the race is not to the swift, nor the battle to the strong, neither yet bread to the wise, nor yet riches to men of understanding, nor yet favour to men of skill; but time and chance happeneth to them all.

–Ecclesiastes 9:11

It is one thing to gain executive power, and another to hold onto it.  It is altogether different to use it wisely and justly.

Many are the dictators who have ruled long, but not justly–such as Porfiro Diaz, whose 30-year regime was ended by the Mexican Revolution in 1911.

And many are those who wanted to rule justly but could not face up to the harsh realities of power.  One of these was Francisco Madero, who democratically succeeded Diaz–but was soon betrayed and executed by Victoriana Huerta, one of his own generals.

In Part One, I outlined a number of timeless suggestions by Niccolo Machiavelli, the Florentine statesman and patriot (1469-1527) for attaining and wisely employing executive power.

Niccolo Machiavelli

Many of this nation’s corporate executives and officials manning local, state and Federal agencies (including the Presidency) would do well to pay close attention to his advisories.  Among these:

  • EVALUATING A SUBORDINATE: For a prince to be able to know a minister there is this method which never fails.  When you see the minister think more of himself than of you, and in all his actions seek his own profit, such a man will never be a good minister, and you can never rely on him.  For whoever has in hand the state of another man must never think of himself but of the prince, and not mind anything but what relates to him.
  • TREATMENT OF SUBORDINATES: And on the other hand, the prince, in order to retain his fidelity, ought to think of his minister, honoring and enriching him, doing him kindnesses and conferring on him favors and responsible tasks, so that the great favors and riches bestowed on him cause him not to desire other honors and riches, and the offices he holds make him fearful of changes.  When princes and their ministers stand in this relation to each other, they can rely the one upon the other; when it is otherwise, the result is always injurious either for one or the other of them.
  • TAKING COUNSEL: There is no way of guarding oneself against flattery than by letting men understand that they will not offend you by speaking the truth.  But when every one can tell you the truth, you lose their respect.
  • A prudent prince must therefore take a third course, by choosing for his counsel wise men, and giving them alone full liberty to speak the truth to him, but only of those things that he asks and of nothing else.
  • MAKING DECISIONS: But he must be a great asker about everything and hear their opinions, and afterwards deliberate by himself in his own way, and in these counsels and with each of these men comport himself so that every one may see that the more freely he speaks, the more he will be acceptable.  Beyond these he should listen to no one, go about the matter deliberately, and be determined in his decisions.
  • SEEK THE TRUTH:  A prince, therefore, ought always to take counsel, but only when he wishes, not when others wish.  On the contrary, he ought to discourage absolutely attempts to advise him unless he asks it.  But he ought to be a great asker, and a patient hearer of the truth about those things of which he has inquired.  Indeed, if he finds that anyone has scruples in telling him the truth he should be angry.
  • UNWISE PRINCES CANNOT BE WISELY ADVISED: And since some think that a prince who gains the reputation of being prudent is so considered, not by his nature but by the good counselors he has about him, they are undoubtedly deceived.  It is an infallible rule that a prince who is not wise himself cannot be well advised, unless by chance he leaves himself entirely in the hands of one man who rules him in everything, and happens to be a very prudent man. In this case, he may doubtless be well governed, but it would not last long, for the governor would in a short time deprive him of the state.
  • FORTUNE: I think it may be true that fortune is the ruler of half our actions, but that she allows the other half or thereabouts to be governed by us.
  • I would compare her to an impetuous river that, when turbulent, inundates the plains, casts down trees and buildings, removes earth from this side and places it on the other; every one flees before it, and everything yields to its fury without being able to oppose it.
  • Still, when it is quiet, men can make provisions against it by dykes and banks, so that when it follows it will either go into a canal or its rush will not be so wild and dangerous.