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THE CORRUPTIONS OF THE RICH ARE STILL WITH YOU ALWAYS: PART THREE (END)

In Bureaucracy, Business, History, Medical, Politics, Social commentary on December 12, 2024 at 12:10 am

In his 1975 book, The Corrupt Society: From Ancient Greece to Modern-day America, British historian Robert Payne warned that the predatory rich would not change their behavior:   

“Like the tyrant who lives in a world wholly remote from the world of the people, shielded and protected from all possible influences, the rich are usually the last to observe the social pressures rising from below, and when these social pressures reach flashpoint, it is too late to call in the police or the army.”

Amazon.com.au: Robert Payne: books, biography, latest update

Robert Payne

There are signs that millions of Americans are seeing themselves not on a racially-conscious basis but on a class-conscious one.

During the 2024 Presidential campaign, Democrats expected to retain control of the White House through the loyalty of groups that had traditionally voted Democratic: Blacks, Hispanics, women, those under 30.

Yet Vice President Kamala Harris fared badly with all of these groups.

According to a November 12, 2024 story on National Public Radio, “Why high prices toppled Democrats—and other governments around the world”: 

“This year’s election results made one thing clear: People really don’t like paying more for everyday expenses…. 

“A survey by the Associated Press found high prices were the number one concern for about half of all Trump voters.”

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Donald Trump

Hispanics, for example, ignored Donald Trump’s incessant attacks and threats to deport 11 million of them—because they were upset by the high price of eggs. 

And according to a December 3 story published in Right on Time, Gen Z voters—those voters  between 18–24 years old—turned Right “because of economic factors, like the desire for a whopping salary, according to a new survey. 

“Financial services company Empower surveyed more than 2,200 Americans, and respondents born between 1997 and 2012 declared they’d need to make $587,000 a year to be ‘financially successful.’” 

In short: Most of those who voted for Trump wanted to move from a lower financial class to a higher one. And they’re dangerously angry at their inability to improve their living conditions.

The latest evidence of this occurred on the morning of December 4: UnitedHealthcare CEO Brian Thompson, 50, was shot in the back while walking to an investor conference in Manhattan.

Brian Thompson (businessman) - Wikipedia

Brian Thompson

The accused shooter—Luigi Mangione—left behind shell casings with “deny,” “defend” and “depose” written on them.

The phrase has been adopted by critics of the healthcare industry to describe how insurance companies delay paying claims, deny valid claims in whole or part, and defend their actions by forcing claimants to enter litigation. 

The phrase was popularized in the 2010 book, Delay Deny Defend: Why Insurance Companies Don’t Pay Claims and What You Can Do About It, by Jay M. Feinman. 

Feinman, an expert in insurance law and professor emeritus at Rutgers University, wrote the book to be “an expose of insurance injustice and a plan for consumers and lawmakers to fight back.” 

Delay, Deny, Defend: Why Insurance Companies Don't Pay Claim and What You Can Do About It: Feinman, Jay M.: Amazon.com: Books

Apparently, Mangione, the accused gunman, decided to “fight back” in a more direct and lethal way. 

For the executives of America’s $1.6 trillion (in 2022) individual health insurance industry, online reactions to the clearly targeted assassination of Brian Thompson must be chilling. 

Many comments ranged from unfeeling to outright hostility toward health insurance companies and the executives who run them.

UnitedHealthcare, as the largest private insurer in the United States, has been the primary target of those attacks:

“When you shoot one man in the street it’s murder. When you kill thousands of people in hospitals by taking away their ability to get treatment, you’re an entrepreneur.” 

“An innocent victim was gunned down in cold blood. Have a heart regardless of your health insurance.”

“Can’t find the room to care over my daughter’s $60,000 cancer treatment. Thoughts and prayers.”

“My copay for thoughts and prayers is $100,000; I heard his condition was pre-existing; My ability to care was denied; My sympathy requires a referral; Submitted claim for condolences was denied.” 

“My empathy is out of network.”

“Thoughts and deductibles to the family. Unfortunately my condolences are out-of-network.”

“Today…we mourn the deaths of the 68,000 Americans who needlessly die each year so that insurance company execs like Brian Thompson can become multimillionaires.”

“Now the norms of violence are spreading into the commercial sector,” said Robert Pape, director of the University of Chicago’s project on security and threats. 

“What I think we’re really experiencing as a country is the erosion against norms. That means, basically, seeing violence as the more normal tool, or acceptable tool, to resolve what should be straightforward civil disputes resolved in nonviolent ways.”

Incoming President Donald Trump has picked at least 11 billionaires and millionaires for his Cabinet. In some cases, they will have the power to cut spending on public services that are used by the most poor and vulnerable.

Trump has also threatened to ignite a tariff war with America’s biggest trading partners—Canada, Mexico and China. This will cause prices for life’s necessities to spiral out of control for millions of Americans.

At that point, Walter Scheidel’s 2017 book, The Great Leveler: Violence and the History of Inequality from the Stone Age to the Twenty-First Century, may become required reading for overpaid corporate executives throughout the country.

THE CORRUPTIONS OF THE RICH ARE STILL WITH YOU ALWAYS: PART TWO (OF THREE)

In Bureaucracy, Business, History, Law, Politics, Social commentary on December 11, 2024 at 12:19 am

The gap between rich and poor in the United States has never been greater.       

The Economic Policy Institute is a nonprofit, nonpartisan think tank working for the last 30 years to counter rising inequality. Its September 21, 2023 report stated:

  • In 2022, CEOs were paid 344 times as much as a typical worker.
  • In 1965 they were paid 21 times as much. In 2021, CEOs made nearly eight times as much as the top 0.1% of wage earners in the U.S.

This would not have been news to Niccolo Machiavelli, the father of modern political science. In his masterwork, The Discourses, he observed the human condition as that of constant struggle: 

Portrait of Niccolò Machiavelli by Santi di Tito.jpg

Niccolo Machiavelli

“It was a saying of ancient writers, that men afflict themselves in evil, and become weary of the good, and that both these dispositions produce the same effects. 

“For when men are no longer obliged to fight from necessity, they fight from ambition, which passion is so powerful in the hearts of men that it never leaves them, no matter to what height they may rise.

“The reason for this is that nature has created men so that they desire everything, but are unable to attain it. Desire being thus always greater than the faculty of acquiring, discontent with what they have and dissatisfaction with themselves result from it. 

“This causes the changes in their fortunes—for as some men desire to have more, while others fear to lose what they have, enmities and war are the consequences. And this brings about the ruin of one province and the elevation of another.”

Author Walter Scheidel, Dickason Professor in the Humanities, Professor of Classics and History at Stanford University, has also given this subject a great deal of thought. And, like Machiavelli, he has reached some highly disturbing conclusions.

Walter Scheidel - Annual Meeting of the New Champions 2012.jpg

Walter Scheidel

World Economic Forum [CC BY-SA 2.0 (https://creativecommons.org/licenses/by-sa/2.0)%5D

He gave voice to these in his 2017 book, The Great Leveler: Violence and the History of Inequality from the Stone Age to the Twenty-First Century. His thesis: Only violence and catastrophes have consistently reduced inequality throughout history.  

According to the book’s jacket blurb: Are mass violence and catastrophes the only forces that can seriously decrease economic inequality? To judge by thousands of years of history, the answer is yes.

“Tracing the global history of inequality from the Stone Age to today, Walter Scheidel shows that inequality never dies peacefully. Inequality declines when carnage and disaster strike and increases when peace and stability return.

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“The Great Leveler is the first book to chart the crucial role of violent shocks in reducing inequality over the full sweep of human history around the world.

“Ever since humans began to farm, herd livestock, and pass on their assets to future generations, economic inequality has been a defining feature of civilization. Over thousands of years, only violent events have significantly lessened inequality.

“The ‘Four Horsemen’ of leveling—-mass-mobilization warfare, transformative revolutions, state collapse, and catastrophic plagues—have repeatedly destroyed the fortunes of the rich.

“Scheidel identifies and examines these processes, from the crises of the earliest civilizations to the cataclysmic world wars and communist revolutions of the twentieth century.

“Today, the violence that reduced inequality in the past seems to have diminished, and that is a good thing. But it casts serious doubt on the prospects for a more equal future.”

Revolutionaries have known the truth of Scheidel’s findings from the gladiators’ revolt of Spartacus (73-71 B.C.) to the French Revolution (1789-1799) to the overthrow of the Czarist Romanov dynasty (1917).

But American politicians serenely ignore that truth. They depend on the mega-rich for millions of dollars in “campaign contributions”—which pay for self-glorifying ads on TV.

Thus, in 2016, American voters had a “choice” between two “love-the-rich” Presidential candidates: Donald Trump and Hillary Clinton. 

Trump owed his wealth to a $200 million gift from his real estate tycoon father. Clinton owed hers mostly through her husband, Bill, by his writing books, giving speeches, consulting private companies and advising billionaire Ron Burkle.

After leaving the Senate (2001-09) and President Obama’s cabinet (2009-13), she earned $9 million in speaking fees in both 2013 and 2014.

The result was that millions stayed home or voted in protest for third-party candidates who had no chance of winning.

In 2020, American voters got to “choose” between another two “love-the-rich” candidates: Donald Trump and Joseph Biden.

In his 1975 book, The Corrupt Society: From Ancient Greece to Modern-day America, British historian Robert Payne warned that the predatory rich would not change their behavior: “Nor is there any likelihood that the rich will plow back their money into services to ensure the general good.

“They have rarely demonstrated social responsibility, and they are much more likely to hold on to their wealth at all costs than to renounce any part of it.

“Like the tyrant who lives in a world wholly remote from the world of the people, shielded and protected from all possible influences, the rich are usually the last to observe the social pressures rising from below, and when these social pressures reach flashpoint, it is too late to call in the police or the army.”

THE CORRUPTIONS OF THE RICH ARE STILL WITH YOU ALWAYS: PART ONE (OF THREE)

In Bureaucracy, Business, History, Law, Politics, Social commentary on December 10, 2024 at 12:21 am

Americans are used to Presidential candidates telling lies (euphemistically known as “campaign promises”) to get elected.    

But when a candidate actually (and usually accidentally) tells the truth, the results can be electrifying.

A pointed example:

On June 18, 2019, Democratic Presidential candidate and front-runner Joe Biden addressed a roomful of donors in New York. Money is, after all, the lifeblood of all political campaigns, and Biden wanted to guarantee he got more of it than any of his 23 Democratic rivals.

So the former vice president had a message he felt sure would appeal to his well-heeled audience of billionaires: Don’t worry, if I’m elected, your standard of living won’t change.

Joe Biden presidential portrait.jpg

Joe Biden

Addressing the 100 or so guests at a fundraiser at the Carlyle Hotel in New York City, Biden said that he had taken heat from “some of the people on my team, on the Democratic side” because he had said that rich people were “just as patriotic as poor people.

“The truth of the matter is, you all, you all know, you all know in your gut what has to be done. We can disagree in the margins but the truth of the matter is it’s all within our wheelhouse and nobody has to be punished. No one’s standard of living will change, nothing would fundamentally change,” he said. 

And he added: “I mean, we may not want to demonize anybody who has made money.

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“When we have income inequality as large as we have in the United States today, it brews and ferments political discord and basic revolution. Not a joke. Not a joke. It allows demagogues to step in and say the reason where we are is because of the ‘other’….

“You’re not the other. I need you very badly. I hope if I win this nomination, I won’t let you down. I promise you. I have a bad reputation, I always say what I mean. The problem is I sometimes say all that I mean.”

Biden talked about decreasing income inequality and promoting workers’ rights. But he took a moderate stance when it came to taxation.

Vermont United States Senator Bernie Sanders, on the other hand, has attacked the ultra-rich as responsible for the ever-widening gap between themselves and the poor.

Bernie Sanders smiling

Bernie Sanders 

Palácio do Planalto from Brasilia, Brasil, CC BY 2.0 <https://creativecommons.org/licenses/by/2.0&gt;, via Wikimedia Commons

“I love Bernie, but I’m not Bernie Sanders. I don’t think 500 billionaires are the reason why we’re in trouble,” Biden said in March, 2019.

Instead, he proposed expanding tax credits for the poor and middle class, and making the tax code less friendly to rich investors. 

Robert Payne, the distinguished British historian, had a different—and darker—view of the rich.

Payne authored more than 110 books. Among his subjects were Adolf Hitler, Ivan the Terrible, Winston Churchill, Joseph Stalin, Vladimir Lenin, William Shakespeare and Leon Trotsky.

In 1975, he published The Corrupt Society: From Ancient Greece to Present-Day America. It proved a summary of many of his previous works.Related image

Among the epochs it covered were the civilizations of ancient Greece, Rome and China; Nazi Germany; the Soviet Union; and Watergate-era America. And the massive corruption each of those epochs had spawned.

The Corrupt Society: From Ancient Greece to Present-Day America : Payne Robert: Amazon.co.uk: Books

In his chapter, “A View of the Uncorrupted Society,” Payne warned: Power and wealth are the main sources of corruption.

“The rich, simply by being rich, are infected with corruption. Their overwhelming desire is to grow richer, but they can do this only at the expense of those who are poorer than themselves.

”Their interests conflict with those of the overall society. They live sheltered from the constant anxieties of the poor, and thus cannot understand them.  Nor do they try to.

“They see the poor as alien from themselves, and thus come to fear and despise them. And their wealth and influence enables them to buy politicians—who, in turn, write legislation that protects the rich from the poor.”

But Payne foresaw an even greater danger from the rich and powerful than their mere isolation from the rest of society: “The mere presence of the rich is corrupting. Their habits, their moral codes, their delight in conspicuous consumption are permanent affronts to the rest of humanity. Vast inequalities of wealth are intolerable in any decent society.”

Writing in 1975, Payne noted that a third of the private wealth was possessed by less than five percent of the population—while about a fifth of the populace lived at the poverty level. By 2000, he predicted, about five percent of the population would possess two-thirds of America’s wealth. And more than half the population would be near or below the starvation level. 

Payne has proven to be an uncanny prophet.

On October 8, 2024, Fortune magazine noted that “over the past 30 years, the U.S.’s top 1% got richer, and now hold nearly a third of the nation’s wealth.

Oxfam is a British-founded confederation of 21 independent non-governmental organizations, focusing on the alleviation of global poverty, founded in 1942. On January 16, 2023, it noted:

“The richest 1 percent grabbed nearly two-thirds of all new wealth worth $42 trillion created since 2020, almost twice as much money as the bottom 99 percent of the world’s population.”

But this situation need not remain permanent.

TAX CUTS WON’T CREATE JOBS: PART THREE (END)

In Bureaucracy, History, Law, Law Enforcement, Politics, Social commentary on October 11, 2024 at 12:12 am

America can quickly find employment for willing-to-work job-seekers—by installing a nationwide Employers Responsibility Act. Its last seven provisions would read as follows: 

(9) Employers refusing to hire would be required to pay an additional “crime tax.”

Sociologists and criminologists agree that “the best cure for crime is a job.” Thus, employers who refuse to hire contribute to a growing crime rate in this Nation. Such non-hiring employers would be required to pay an additional tax, which would be earmarked for agencies of the criminal justice system at State and Federal levels.

Exporting America: Why Corporate Greed Is Shipping American Jobs Overseas: Dobbs, Lou: 8601422993837: Amazon.com: Books

(10)  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.

(11)   Employers who continue to make such overtures would be criminally 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. 

In Greed We Trust - YouTube

(12) The U.S. Departments of Justice and Labor would regularly monitor the extent of employer compliance with the provisions of this act.

Among these measures: Sending  undercover  agents, posing as highly-qualified job-seekers, to apply at companies—and then vigorously prosecuting those employers who  blatantly refused to hire despite their proven economic ability to do so.

This would be comparable to the long-time and legally-validated practice of using undercover agents to determine compliance with fair-housing laws.  

(13)   The Justice Department and/or the Labor Department would be required to maintain a publicly-accessible database on those companies that have been cited, sued and/or convicted for such offenses as:

  • discrimination,
  • harassment,
  • health and/or safety violations or
  • violating immigration laws. 

Employers would be legally required to regularly provide such information to these agencies, so that it would remain accurate and up-to-date.

Such information would arm job applicants with vital information about the employers they were approaching. They could thus decide in advance if an employer is deserving of their skills and dedication.

As matters now stand, employers can legally demand to learn even the most private details of an applicant’s life without having to disclose even the most basic information about themselves and their history of treating employees. 

(14)  CEOs whose companies employ illegal aliens would be held directly accountable for the actions of their subordinates.  Upon conviction, the CEO would be sentenced to a mandatory prison term of at least 10 years.

This would prove a more effective remedy for controlling illegal immigration than stationing tens of thousands of soldiers on the U.S./Mexican border. With CEOs forced to account for their subordinates’ actions, they would take drastic steps to ensure their companies complied with Federal immigration laws.

Without employers eager to hire illegal aliens at a fraction of the money paid to American workers, the invasions of illegal job-seekers would quickly come to an end.

(15)  A portion of employers’ existing Federal taxes would be set aside to create a national clearinghouse for placing unemployed but qualified job-seekers.

* * * * *

For thousands of years, otherwise highly intelligent men and women believed that kings ruled by divine right. That kings held absolute power, levied extortionate taxes and sent countless millions of men off to war—all because God wanted it that way.

That lunacy was dealt a deadly blow in 1776 when American Revolutionaries threw off the despotic rule of King George III of England.

But today, millions of Americans remain imprisoned by an equally outrageous and dangerous theory: The Theory of the Divine Right of Employers.

Summing up this employer-as-God attitude, Calvin Coolidge still speaks for the overwhelming majority of employers and their paid shills in government: “The man who builds a factory builds a temple, and the man who works there worships there.”

America can no longer afford such a dangerous fallacy as the Theory of the Divine Right of Employers.

Americans did not win their freedom from Great Britain—and its enslaving doctrine of “the divine right of kings”—-by begging for their rights.

And Americans will not win their freedom from their corporate masters–-and the equally enslaving doctrine of “the divine right of employers”—-by begging for the right to work and support themselves and their families.

Corporations can—and do—spend millions of dollars on TV ads, selling lies—lies such as the “skills gap,” and how if the wealthy are forced to pay their fair share of taxes, jobs will inevitably disappear.

But Americans can choose to reject those lies—and demand that employers behave like patriots instead of predators.

TAX CUTS WON’T CREATE JOBS: PART TWO (OF THREE)

In Bureaucracy, History, Law, Law Enforcement, Politics, Social commentary on October 10, 2024 at 12:10 am

An Employers Responsibility Act (ERA) would simultaneously address the following evils for which employers are directly responsible:   

  • The loss of jobs within the United States owing to companies’ moving their operations abroad—solely to pay substandard wages to their new employees.
  • The mass firings of employees which usually accompany corporate mergers or acquisitions.
  • The widespread victimization of part-time employees, who are not legally protected against such threats as racial discrimination, sexual harassment and unsafe working conditions.

  • The refusal of many employers to create better than menial, low-wage jobs.
  • The widespread employer practice of extorting “economic incentives” from cities or states in return for moving to or remaining in those areas. Such “incentives” usually absolve employers from complying with laws protecting the environment and/or workers’ rights.
  • The refusal of many employers to provide medical and pension benefits—nearly always in the case of part-time employees, and, increasingly, for full-time, permanent ones as well.
  • Rising crime rates, due to rising unemployment.

Among its provisions:

(1) American companies that close plants in the United States and open others abroad would be forbidden to sell products made in those foreign plants within the United States.

This would protect both American and foreign workers from employers seeking to profit at their expense. American workers would be ensured of continued employment. And foreign laborers would be protected against substandard wages and working conditions.

Companies found violating this provision would be subject to Federal criminal prosecution. Guilty verdicts would result in heavy fines and lengthy imprisonment for their owners and top managers.

(2) Large companies (those employing more than 100 persons) would be required to create entry-level training programs for new, future employees.

These would be modeled on programs now existing for public employees, such as firefighters, police officers and members of the armed services.

Such programs would remove the employer excuse, “I’m sorry, but we can’t hire you because you’ve never had any experience in this line of work.” After all, the Air Force has never rejected an applicant because, “I’m sorry, but you’ve never flown a plane before.”

This Nation has greatly benefited from the humane and professional efforts of the men and women who have graduated from public-sector training programs. There is no reason for the private sector to shun programs that have succeeded so brilliantly for the public sector.

(3) Employers would receive tax credits for creating professional, well-paying, full-time jobs.

This would encourage the creation of better than the menial, dead-end, low-paying and often part-time jobs which exist in the service industry. Employers found using such tax credits for any other purpose would be prosecuted for tax fraud.

(4) A company that acquired another—through a merger or buyout—would be forbidden to fire en masse the career employees of that acquired company.

This would be comparable to the protection existing for career civil service employees. Such a ban would prevent a return to the predatory “corporate raiding” practices of the 1980s, which left so much human and economic wreckage in their wake.

The wholesale firing of employees would trigger the prosecution of the company’s new owners. Employees could still be fired, but only for provable just cause, and only on a case-by-case basis.

(5) 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.

(6) Employers of part-time workers would be required to comply with all federal labor laws.

Under current law, part-time employees are not protected against such abuses as discrimination, sexual harassment and unsafe working conditions. Closing this loophole would immediately create two positive results:

  • Untold numbers of currently-exploited workers would be protected from the abuses of predatory employers; and
  • Even predatorily-inclined employers would be encouraged to offer permanent, fulltime jobs rather than only part-time ones—since a major incentive for offering part-time jobs would now be eliminated.

(7) Employers would be encouraged to hire to their widest possible limits,through a combination of financial incentives and legal sanctions. Among those incentives:

Employers demonstrating a willingness to hire would receive substantial Federal tax credits, based on the number of new, permanent employees hired per year.

Employers claiming eligibility for such credits would be required to make their financial records available to Federal investigators. Employers found making false claims would be prosecuted for perjury and tax fraud, and face heavy fines and imprisonment if convicted.

(8) Among those sanctions: Employers refusing to hire could be required to prove, in court:

  • Their economic inability to hire further employees, and/or
  • The unfitness of the specific, rejected applicant.

Companies found guilty of unjustifiably refusing to hire would face the same penalties as now applying in cases of discrimination on the basis of age, race, sex and disability.

Two benefits would result from this:

  1. Employers would thus fund it easier to hire than to refuse to do so; and
  2. Job-seekers would no longer be prevented from even being considered for employment because of arbitrary and interminable “hiring freeze.”

TAX CUTS WON’T CREATE JOBS: PART ONE (OF THREE)

In Bureaucracy, History, Law, Law Enforcement, Politics, Social commentary on October 9, 2024 at 12:15 am

Donald Trump wants huge tax cuts for corporations. He wants to cut the corporate income tax rate from from 21 to 15%.

According to the bipartisan Committee for a Responsible Federal Budget, this could reduce revenue by about $200 billion through Fiscal Year (FY) 2035.

He claims that, with this extra income, CEOs will invest in their businesses and create tens of thousands of new jobs.

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Donald Trump

But that’s not what past CEOs have done. The have sought to please investors, not workers. And, certainly not those seeking work.

Darius Adamczyk, CEO of Honeywell International Inc., said “tax reform” would “offer greater flexibility for Honeywell.”  He added that the corporation would invest more cash in the United States to pay for mergers and acquisitions, share buybacks and paying down debt. 

He didn’t say anything about hiring more workers

According to McKinsey & Company, the 500 largest US nonfinancial companies have accumulated around $1 trillion. Most of this is held offshore, in non-US overseas subsidiaries, to avoid the incremental US income taxes they would pay if they repatriated the money under current US laws

Apple’s CEO Tim Cook said the company wanted to bring back offshore cash if tax rates for doing so were lower: “What we would do with it, let’s wait and see exactly what it is, but as I’ve said before we are always looking at acquisitions.” 

In a corporate acquisition, a company buys a controlling interest in another company, by acquiring all or most of its shares.

Most of the offshore cash brought home by U.S. companies in past tax holidays was used to buy back shares or make acquisitions, not to fund investments in production capacity or jobs.

Corporations were not legally required to use those tax cut savings to hire more workers. And Trump’s tax cut proposal had no such requirement, either.

According to John Divine, staff writer for U.S. News & World Report‘s Money section: “As long as there are no strings attached on how or where companies spend these savings, taxpayers get a raw deal.”

Tax cuts for the wealthy have been a favorite—perhaps the favorite—Republican mantra since 1980, when former California Governor Ronald Reagan was elected President.

Ronald Reagan

Reagan, like every major Republican Presidential candidate since, promised that giving tax cuts to the wealthy would prove highly beneficial to ordinary workers.

The official name for this policy was “supply side economics.”  In reality, it was known—and functioned—as “trickle down economics.” 

“A rising tide lifts all boats,” claimed Reagan. A more realistic slogan for the results of his economics policies would have been: “A rising tide lifts some yachts.”

Among those charting Reagan’s economics legacy as President was former CBS Correspondent David Schoenbrun. In his bestselling autobiography, America Inside Out: At Home and Abroad from Roosevelt to Reagan, he noted:

  • On January 28, 1981, keeping a pledge to his financial backers in the oil industry, Reagan abolished Federal controls on the price of oil.
  • Within a week, Exxon, Texaco and Shell raised gasoline prices and prices of home heating oil.
  • Reagan saw it as his duty to put a floor under prices, not a ceiling above them.
  • Reagan believed that when government helped business it wasn’t interfering. Loaning money to bail out a financially incompetent Chrysler was “supporting the free enterprise system.”
  • But putting a high-profits tax on price-gouging corporations or filing anti-trust suits against them was “Communistic” and therefore intolerable.
  • Tax-breaks for wealthy businesses meant helping America become stronger.
  • But welfare for the poor or the victims of a predatory marketplace economy weakened America by sapping its morale.

“In short,” wrote Schoenbrun, “welfare for the rich is good for America. But welfare for the poor is bad for America, even for the poor themselves, for it encourages them to be shiftless and lazy.

“Somehow, loans to the inefficient management of American corporations would not similarly encourage them in their inefficient methods.”

To be unemployed in America is considered by most Americans—including the unemployed—the same as being a bum.  

And Republicans are quick to point accusing fingers at those willing-to-work Americans who can’t find willing-to-hire employers.

According to Republicans such as Mitt Romney and Herman Cain: If you can’t find a job, it’s entirely your fault.

And when Republicans are forced—by public pressure or Democratic majorities—to provide benefits to the unemployed, these nearly always come at a price.

Those receiving subsistence monies are, in many states, required to undergo drug-testing, even though there is no evidence of widespread drug-abuse among the unemployed.

But America can put an end to this “I’ve-got-mine-and-the-hell-with-you” job-killing arrogance of greedy corporations.

The answer lies in three words: Employers Responsibility Act (ERA).

If passed by Congress and vigorously enforced by the U.S. Departments of Justice and Labor, an ERA would ensure full-time, permanent and productive employment for millions of capable, job-seeking Americans.

And it would achieve this without raising taxes or creating controversial government “make work” programs.

Such legislation would legally require employers to demonstrate as much initiative for hiring as job-seekers are now expected to show in searching for work. 

How it would work will be outlined in the next two columns.

WANT A JOB? TAKE THE EXCUSES OUT OF THE EMPLOYER: PART ONE (OF THREE)

In Bureaucracy, Business, History, Law, Law Enforcement, Politics, Social commentary on November 14, 2019 at 12:08 am

During the 2016 Presidential campaign, Donald Trump assumed a role that utterly confounded his Democratic opponent, Hillary Clinton.

He adopted the role of a populist, appealing to blue-collar voters. He visited “Rustbelt” states like Michigan and Pennsylvania and vowed to “bring back” jobs that had been lost to China, such as those in coal mining and manufacturing

Clinton, on the other hand, made two deadly mistakes:

First, she offered a “love-your-CEO” economic plan to the unemployed—and suffered for it. 

And, second, she didn’t deign to visit those “Rustbelt” states, assuming she had them “locked up.”

Most economists agree that, in a globalized economy, such jobs are not coming back, no matter who becomes President.

Even so, voters backed the man who came to promise them a better future, and shunned the woman who didn’t come to promise them any future at all.

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Hillary Clinton (Gage Skidmore photo)

In May, 2016, Democratic pollster CeLinda Lake had warned Clinton to revamp her economic platform. Clinton ignored the advice.

“Democrats simply have to come up with a more robust economic frame and message,” Lake said after the election. “We’re never going to win those white, blue-collar voters if we’re not better on the economy. And 27 policy papers and a list of positions is not a frame. We can laugh about it all we want, but Trump had one.” 

Had Clinton offered struggling or unemployed workers a realistic plan for turning their lives around, the 2016 election might well have had a different ending. 

But, since winning the White House, Trump has not been able to “bring back jobs” lost to corporations’ “outsourcing” to countries like China and Mexico.  

Nor have huge tax cuts for corporations resulted in large-scale hiring. He claimed that, with this extra income, CEOs would invest in their businesses and create tens of thousands of new jobs. And through his Tax Cuts and Jobs Act of 2017, which Republicans rammed through Congress, the corporate income tax rate has been slashed from 35% to 21%. 

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Donald Trump

But that’s not what some of the biggest S&P 500 companies predicted they would do if they got those tax cuts. The people they wanted to please were investors, not workers.  And, least of all, those seeking work but unable to find employers willing to hire.

Darius Adamczyk, CEO of Honeywell International Inc., said “tax reform” would “offer greater flexibility for Honeywell.”  He added that the corporation would invest more cash in the United States to pay for mergers and acquisitions, share buybacks and paying down debt. 

He didn’t say anything about hiring more workers.

According to Moody’s Investors Service, American corporations have stockpiled nearly $1.8 trillion in cash overseas. 

Apple has more than $240 billion of that total.

Apple’s CEO Tim Cook said the company wanted to bring back offshore cash if tax rates for doing so were lower: “What we would do with it, let’s wait and see exactly what it is, but as I’ve said before we are always looking at acquisitions.”

Apple expected a tax windfall if Trump’s tax-cutting plan passed Congress. And analysts openly expected Apple to use those monies to boost its capital return program via buybacks, dividends and perhaps making a big acquisition.

What analysts didn’t expect Apple to do with its tax cut monies was create new American jobs.

Most of the offshore cash brought home by U.S. companies in past tax holidays was used to buy back shares or make acquisitions, not to fund investments in production capacity or jobs.

Corporations were not legally required to use those tax cut savings to hire more workers.  And Trump’s tax cut legislation has no such requirement, either.

According to John Divine, staff writer for U.S. News & World Report‘s Money section: “As long as there are no strings attached on how or where companies spend these savings, taxpayers get a raw deal.”

Tax cuts for the wealthy have been a favorite—perhaps the favorite—Republican mantra since 1980, when former California Governor Ronald Reagan ran for and became President.

Ronald Reagan

Reagan, like every major Republican Presidential candidate since, promised that giving tax cuts to the wealthy would prove highly beneficial to ordinary workers.

The official name for this policy was “supply side economics.” In reality, it was known—and functioned—as “trickle down economics.” 

“A rising tide lifts all boats,” claimed Reagan. A more realistic slogan for the results of his economics policies would have been: “A rising tide lifts some yachts.”

Among those charting Reagan’s economics legacy as President was former CBS Correspondent David Schoenbrun. In his bestselling autobiography, America Inside Out: At Home and Abroad from Roosevelt to Reagan, he wrote: 

“[According to Republicans] welfare for the rich is good for America. But welfare for the poor is bad for America, even for the poor themselves, for it encourages them to be shiftless and lazy.

“Somehow, loans to the inefficient management of American corporations would not similarly encourage them in their inefficient methods.”

To be unemployed in America is considered by most Americans—including the unemployed—the same as being a bum.  

And Republicans are quick to point accusing fingers at those willing-to-work Americans who can’t find willing-to-hire employers.

TAX CUTS WON’T CREATE JOBS: PART THREE (END)

In Bureaucracy, History, Law, Law Enforcement, Politics, Social commentary on November 1, 2017 at 12:15 am

America can quickly find employment for willing-to-work job-seekers—by installing a nationwide Employers Responsibility Act. Its last seven provisions would read as follows:

(9) Employers refusing to hire would be required to pay an additional “crime tax.”

Sociologists and criminologists agree that “the best cure for crime is a job.” Thus, employers who refuse to hire contribute to a growing crime rate in this Nation. Such non-hiring employers would be required to pay an additional tax, which would be earmarked for agencies of the criminal justice system at State and Federal levels.

(10)  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.

(11)   Employers who continue to make such overtures would be criminally 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. 

(12) The U.S. Departments of Justice and Labor would regularly monitor the extent of employer compliance with the provisions of this act.

Among these measures: Sending  undercover  agents, posing as highly-qualified job-seekers, to apply at companies—and then vigorously prosecuting those employers who  blatantly refused to hire despite their proven economic ability to do so.

This would be comparable to the long-time and legally-validated practice of using undercover agents to determine compliance with fair-housing laws.  

(13)   The Justice Department and/or the Labor Department would be required to maintain a publicly-accessible database on those companies that have been cited, sued and/or convicted for such offenses as:

  • discrimination,
  • harassment,
  • health and/or safety violations or
  • violating immigration laws. 

Employers would be legally required to regularly provide such information to these agencies, so that it would remain accurate and up-to-date.

Such information would arm job applicants with vital information about the employers they were approaching. They could thus decide in advance if an employer is deserving of their skills and dedication.

As matters now stand, employers can legally demand to learn even the most private details of an applicant’s life without having to disclose even the most basic information about themselves and their history of treating employees.

(14)  CEOs whose companies employ illegal aliens would be held directly accountable for the actions of their subordinates.  Upon conviction, the CEO would be sentenced to a mandatory prison term of at least 10 years.

This would prove a more effective remedy for controlling illegal immigration than stationing tens of thousands of soldiers on the U.S./Mexican border. With CEOs forced to account for their subordinates’ actions, they would take drastic steps to ensure their companies complied with Federal immigration laws.

Without employers eager to hire illegal aliens at a fraction of the money paid to American workers, the invasions of illegal job-seekers would quickly come to an end.

(15)  A portion of employers’ existing Federal taxes would be set aside to create a national clearinghouse for placing unemployed but qualified job-seekers.

* * * * *

For thousands of years, otherwise highly intelligent men and women believed that kings ruled by divine right. That kings held absolute power, levied extortionate taxes and sent countless millions of men off to war—all because God wanted it that way.

That lunacy was dealt a deadly blow in 1776 when American Revolutionaries threw off the despotic rule of King George III of England.

But today, millions of Americans remain imprisoned by an equally outrageous and dangerous theory: The Theory of the Divine Right of Employers.

Summing up this employer-as-God attitude, Calvin Coolidge still speaks for the overwhelming majority of employers and their paid shills in government: “The man who builds a factory builds a temple, and the man who works there worships there.”

America can no longer afford such a dangerous fallacy as the Theory of the Divine Right of Employers.

Americans did not win their freedom from Great Britain—and its enslaving doctrine of “the divine right of kings”—-by begging for their rights.

And Americans will not win their freedom from their corporate masters–-and the equally enslaving doctrine of “the divine right of employers”—-by begging for the right to work and support themselves and their families.

Corporations can—and do—spend millions of dollars on TV ads, selling lies—lies such as the “skills gap,” and how if the wealthy are forced to pay their fair share of taxes, jobs will inevitably disappear.

But Americans can choose to reject those lies—and demand that employers behave like patriots instead of predators.

TAX CUTS WON’T CREATE JOBS: PART TWO (OF THREE)

In Bureaucracy, History, Law, Law Enforcement, Politics, Social commentary on October 31, 2017 at 12:10 am

An Employers Responsibility Act (ERA) would simultaneously address the following evils for which employers are directly responsible:

  • The loss of jobs within the United States owing to companies’ moving their operations abroad—solely to pay substandard wages to their new employees.
  • The mass firings of employees which usually accompany corporate mergers or acquisitions.
  • The widespread victimization of part-time employees, who are not legally protected against such threats as racial discrimination, sexual harassment and unsafe working conditions.

  • The refusal of many employers to create better than menial, low-wage jobs.
  • The widespread employer practice of extorting “economic incentives” from cities or states in return for moving to or remaining in those areas. Such “incentives” usually absolve employers from complying with laws protecting the environment and/or workers’ rights.
  • The refusal of many employers to provide medical and pension benefits—nearly always in the case of part-time employees, and, increasingly, for full-time, permanent ones as well.
  • Rising crime rates, due to rising unemployment.

Among its provisions:

(1) American companies that close plants in the United States and open others abroad would be forbidden to sell products made in those foreign plants within the United States.

This would protect both American and foreign workers from employers seeking to profit at their expense. American workers would be ensured of continued employment. And foreign laborers would be protected against substandard wages and working conditions.

Companies found violating this provision would be subject to Federal criminal prosecution. Guilty verdicts would result in heavy fines and lengthy imprisonment for their owners and top managers.

(2) Large companies (those employing more than 100 persons) would be required to create entry-level training programs for new, future employees.

These would be modeled on programs now existing for public employees, such as firefighters, police officers and members of the armed services.

Such programs would remove the employer excuse, “I’m sorry, but we can’t hire you because you’ve never had any experience in this line of work.” After all, the Air Force has never rejected an applicant because, “I’m sorry, but you’ve never flown a plane before.”

This Nation has greatly benefited from the humane and professional efforts of the men and women who have graduated from public-sector training programs. There is no reason for the private sector to shun programs that have succeeded so brilliantly for the public sector.

(3) Employers would receive tax credits for creating professional, well-paying, full-time jobs.

This would encourage the creation of better than the menial, dead-end, low-paying and often part-time jobs which exist in the service industry. Employers found using such tax credits for any other purpose would be prosecuted for tax fraud.

(4) A company that acquired another—through a merger or buyout—would be forbidden to fire en masse the career employees of that acquired company.

This would be comparable to the protection existing for career civil service employees. Such a ban would prevent a return to the predatory “corporate raiding” practices of the 1980s, which left so much human and economic wreckage in their wake.

The wholesale firing of employees would trigger the prosecution of the company’s new owners. Employees could still be fired, but only for provable just cause, and only on a case-by-case basis.

(5) 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.

(6) Employers of part-time workers would be required to comply with all federal labor laws.

Under current law, part-time employees are not protected against such abuses as discrimination, sexual harassment and unsafe working conditions. Closing this loophole would immediately create two positive results:

  • Untold numbers of currently-exploited workers would be protected from the abuses of predatory employers; and
  • Even predatorily-inclined employers would be encouraged to offer permanent, fulltime jobs rather than only part-time ones—since a major incentive for offering part-time jobs would now be eliminated.

(7) Employers would be encouraged to hire to their widest possible limits,through a combination of financial incentives and legal sanctions. Among those incentives:

Employers demonstrating a willingness to hire would receive substantial Federal tax credits, based on the number of new, permanent employees hired per year.

Employers claiming eligibility for such credits would be required to make their financial records available to Federal investigators. Employers found making false claims would be prosecuted for perjury and tax fraud, and face heavy fines and imprisonment if convicted.

(8) Among those sanctions: Employers refusing to hire could be required to prove, in court:

  • Their economic inability to hire further employees, and/or
  • The unfitness of the specific, rejected applicant.

Companies found guilty of unjustifiably refusing to hire would face the same penalties as now applying in cases of discrimination on the basis of age, race, sex and disability.

Two benefits would result from this:

  1. Employers would thus fund it easier to hire than to refuse to do so; and
  2. Job-seekers would no longer be prevented from even being considered for employment because of arbitrary and interminable “hiring freeze.”

TAX CUTS WON’T CREATE JOBS: PART ONE (OF THREE)

In Bureaucracy, History, Law, Law Enforcement, Politics, Social commentary on October 30, 2017 at 12:41 am

President Donald Trump wants huge tax cuts for corporations.  He wants to cut the corporate income tax rate from its current 35% to 20%.

He claims that, with this extra income, CEOs will invest in their businesses and create tens of thousands of new jobs.

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Donald Trump

But that’s not what some of the biggest S&P 500 companies are saying they’ll do. The people they are seeking to please are investors, not workers.  And, least of all, those seeking work but unable to find employers willing to hire.

Darius Adamczyk, CEO of Honeywell International Inc., said “tax reform” would “offer greater flexibility for Honeywell.”  He added that the corporation would invest more cash in the United States to pay for mergers and acquisitions, share buybacks and paying down debt. 

He didn’t say anything about hiring more workers.

According to Moody’s Investors Service, American corporations have stockpiled nearly $1.8 trillion in cash overseas. 

Apple has more than $240 billion of that total.

Apple’s CEO Tim Cook says the company wants to bring back offshore cash if tax rates for doing so were lower: “What we would do with it, let’s wait and see exactly what it is, but as I’ve said before we are always looking at acquisitions.”

Apple expects a tax windfall if Trump’s tax-cutting plan passes Congress. And analysts openly expect Apple to use those monies to boost its capital return program via buybacks, dividends and perhaps making a big acquisition.

What analysts don’t expect Apple to do with its tax cut monies is create new American jobs.

Most of the offshore cash brought home by U.S. companies in past tax holidays was used to buy back shares or make acquisitions, not to fund investments in production capacity or jobs.

Corporations were not legally required to use those tax cut savings to hire more workers.  And Trump’s tax cut proposal has no such requirement, either.

According to John Divine, staff writer for U.S. News & World Report‘s Money section: “As long as there are no strings attached on how or where companies spend these savings, taxpayers get a raw deal.”

Tax cuts for the wealthy have been a favorite—perhaps the favorite—Republican mantra since 1980, when former California Governor Ronald Reagan ran for and became President.

Ronald Reagan

Reagan, like every major Republican Presidential candidate since, promised that giving tax cuts to the wealthy would prove highly beneficial to ordinary workers.

The official name for this policy was “supply side economics.”  In reality, it was known—and functioned—as “trickle down economics.” 

“A rising tide lifts all boats,” claimed Reagan. A more realistic slogan for the results of his economics policies would have been: “A rising tide lifts some yachts.”

Among those charting Reagan’s economics legacy as President was former CBS Correspondent David Schoenbrun. In his bestselling autobiography, America Inside Out: At Home and Abroad from Roosevelt to Reagan, he noted:

  • On January 28, 1981, keeping a pledge to his financial backers in the oil industry, Reagan abolished Federal controls on the price of oil.
  • Within a week, Exxon, Texaco and Shell raised gasoline prices and prices of home heating oil.
  • Reagan saw it as his duty to put a floor under prices, not a ceiling above them.
  • Reagan believed that when government helped business it wasn’t interfering. Loaning money to bail out a financially incompetent Chrysler was “supporting the free enterprise system.”
  • But putting a high-profits tax on price-gouging corporations or filing anti-trust suits against them was “Communistic” and therefore intolerable.
  • Tax-breaks for wealthy businesses meant helping America become stronger.
  • But welfare for the poor or the victims of a predatory marketplace economy weakened America by sapping its morale.

“In short,” wrote Schoenbrun, “welfare for the rich is good for America. But welfare for the poor is bad for America, even for the poor themselves, for it encourages them to be shiftless and lazy.

“Somehow, loans to the inefficient management of American corporations would not similarly encourage them in their inefficient methods.”

To be unemployed in America is considered by most Americans—including the unemployed—the same as being a bum.  

And Republicans are quick to point accusing fingers at those willing-to-work Americans who can’t find willing-to-hire employers.

According to Republicans such as Mitt Romney and Herman Cain: If you can’t find a job, it’s entirely your fault.

And when Republicans are forced—by public pressure or Democratic majorities—to provide benefits to the unemployed, these nearly always come at a price.

Those receiving subsistence monies are, in many states, required to undergo drug-testing, even though there is no evidence of widespread drug-abuse among the unemployed.

But America can put an end to this “I’ve-got-mine-and-the-hell-with-you” job-killing arrogance of people like Kenneth Fisher.

The answer lies in three words: Employers Responsibility Act (ERA).

If passed by Congress and vigorously enforced by the U.S. Departments of Justice and Labor, an ERA would ensure full-time, permanent and productive employment for millions of capable, job-seeking Americans.

And it would achieve this without raising taxes or creating controversial government “make work” programs.

Such legislation would legally require employers to demonstrate as much initiative for hiring as job-seekers are now expected to show in searching for work. 

How it would work will be outlined in the next two columns.