2

Overview• Review where we are and how we got here

• A Main Street Recovery Program

• Introduce you to the USW “Make our Future Work” campaign

• Ask you to join us in rebuilding the American Economy

3

Economic Policies Matter

• The “New Economy”: – Free markets and individual self-interest should drive the economy– Government policies should favor corporations and the wealthy – Free trade and deregulation make us all better off– Prosperity will trickle down

• Main Street Economics:– The market is neither free nor perfect– The government can help overcome market imperfections– Regulation and Fair Trade are needed– Economic growth is based on the prosperity of working families

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They Had a Plan…For nearly 30 years, conservative

economic ideas focused on the free market have dominated

Washington…

The Result…Deregulation, De-unionization, Globalization, Privatization

There’s class warfare, all right, but it’s my class, the rich class, that’s making war, and we’re winning.

Warren Buffett, November 26, 2006 New York Times

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0%

5%

10%

15%

20%

25%

30%

Manufacturing

Financial

Manufacturing and Financial Sectors as a Percentage of GDP

Wall Street Grows…Main Street Shrinks

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-1%

0%

1%

2%

3%

4%

5%

6%

China

Rest of World

US Trade Deficit as a Percentage of GDP 1960-2004

Trading Away Our Future

In 1997, China produced 14% of the world’s steel; in 2007, it produced 36%.

In 1997, China produced 14% of the world’s steel; in 2007, it produced 36%.

Foreigners now hold $14 trillion of U.S. debt.Foreigners now hold $14 trillion of U.S. debt.

The Bubble has Burst

Stock Market 45% Fastest decline since the Great Depression

Home Prices 17% Largest decline ever

Consumer Confidence 45% Largest decline ever

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Wall Street Infects Main Street

– Homeowners in trouble

A quarter of homeowners have mortgages

now exceeding the value of the home

– Producers scrambling for financing

The rate at which most the average USW

employer can borrow money has gone from

8% to 22%

– Entire industries in jeopardy

Analysts project a 30% decline in new car

sales in 2009

We have been losing 67,000 jobs a month!

We have been losing 67,000 jobs a month!

919

4719

5019

6019

7019

8019

9020

0020

04

Productivity Wages

Unionization Rate 1947: 32%

Unionization Rate 2004: 7.9%

Losing the Power to Get Our Fair Share

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The Rich Get RicherHousehold Wealth 1976-20051976

2005

Today, the bottom 50% have only 3%

of the wealth.

Bottom 90%51%

Richest 10%49%

Bottom 90%27%

Richest 10%73%

The Result• Lost our power to get our fair share• Manufacturing sector smaller than

financial sector• Twelve thousand manufacturing jobs lost

a month since 1980; 60,000 a month since last May

• Wealthiest 10 percent of Americans control 75% of the wealth, up from 1976 when they controlled 50%

• Record levels of debt

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What Has Been Done?$8 trillion in Welfare for the Rich

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“This crisis is a direct result of the greed and irresponsibility that have dominated Washington and Wall Street for years… It’s the result of an economic philosophy that says we should give more and more to those with the most and hope that prosperity trickles down to everyone else... This crisis is the final verdict on this failed philosophy – a philosophy that we cannot afford to continue.”

President-elect Obama

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This crisis gives us an opportunity to build a

stronger union, a stronger country and an economy

in which prosperity is shared by all.

President Obama calls us to “pick ourselves up, dust ourselves off, and begin again the work of remaking America.”

President Obama calls us to “pick ourselves up, dust ourselves off, and begin again the work of remaking America.”

Now We Have a Plan

Now We Have a Plan

It’s Based on a Simple Idea…

A strong middle class is not the problem.A strong middle class is the answer to the

economic crisis…

We all do better when we all do better.

Paul Wellstone, Minnesota Senator 1990-2002

We all do better when we all do better.

Paul Wellstone, Minnesota Senator 1990-2002

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Employee Free Choice

Act

Employee Free Choice

ActFair TradeFair Trade

Progressive Taxes

Progressive Taxes

Health CareReform

Health CareReform

Main Street Recovery Program

Main Street Recovery Program

Mortgage ReliefMortgage Relief

Re-regulate Financial Sector

Re-regulate Financial Sector

To Make our Future Work…

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First Things First• A Main Street Recovery Plan that

keeps our tax dollars at home

• Employee Free Choice Act so that workers can have the power to get their fair share

Renewing America

Main Street Recovery Plan

Main Street Recovery Plan Buy AmericaBuy America

Job Creation at HomeJob Creation at Home

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Main Street Recovery PlanCommit a MINIMUM of 3% of GDP for two years -

$900 Billion• Green Investment - Accelerate the development of a low carbon

economy• Infrastructure - Repair and modernize our crumbling roads,

bridges and airports• Investment in Education - Ensure that all Americans can afford to

go to college • Aid to Those in Need – Those at the bottom suffer most and we

must help them• Buy American – Make sure that the jobs that are created stay at

home.

The Plan must be Properly Designed and ImplementedThe Plan must be Properly Designed and Implemented

The Plan must be Properly Designed and

Implemented:

Rebuilding the Middle Class

Main Street Recovery Plan

Main Street Recovery Plan Buy AmericaBuy America Employee Free

Choice ActEmployee Free

Choice Act

Job Creation at HomeJob Creation at Home

Rebuild the Middle ClassRebuild the

Middle Class

The Employee Free Choice Act is about the most fundamental American values … democracy and choice.

It is about workers deciding how their work lives will be governed.

It is about workers having a voice in the rebuilding of their communities, their workplaces and their country.

The Employee Free Choice Act is about the most fundamental American values … democracy and choice.

It is about workers deciding how their work lives will be governed.

It is about workers having a voice in the rebuilding of their communities, their workplaces and their country.

The Employee Free Choice Act

Restoring the Balance of Power• Puts decisions about recognition in the hands of workers

• Workers get to choose whether recognition will be based on card check recognition or secret ballot

• Strengthens protections for workers:

• Imposes real penalties for employers violating the law

• Supports negotiation of first labor-management agreement:

• Establishes mediation and binding arbitration when the employer and workers cannot agree on a first contract

Rebuilding the Middle Class

$833$887

$758$707 $686

$834$774

$469$520

$579

$717$642

$0

$100

$200

$300

$400

$500

$600

$700

$800

$900

Total Men Women AfricanAmerican

Latino AsianAmerican

Union Nonunion

Source: U.S. Dept. of Labor, BLS, Jan. 2007

We All Benefit When Union Density Increases

“I regard the growth of collective bargaining as essential….” J.M. Keynes (economist) in letter to President Roosevelt,

February 1, 1938

“I regard the growth of collective bargaining as essential….” J.M. Keynes (economist) in letter to President Roosevelt,

February 1, 1938

Corporations Deny Employees the Freedom to

Gain a Better Life

Threatene

d

Harasse

dFired

* 25% illegally fire at least one worker for union activity

* 25% illegally fire at least one worker for union activity

* 33% never agree to a contract

* 33% never agree to a contract

The Opposition

Keeping the Promise of America

Main Street Recovery Plan

Main Street Recovery Plan Buy AmericaBuy America Employee Free

Choice ActEmployee Free

Choice Act

Job Creation at HomeJob Creation at Home

Rebuild the Middle ClassRebuild the

Middle Class

The Promise of America

The Promise of America

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Why This Will Work• Infrastructure spending immediately injects money into

the economy• With a strong buy American program, jobs will be

created at home• Money spent here will multiply throughout the

economy supporting all sectors• Employee Free Choice Act will ensure that working

Americans have the right to collectively bargain for their fair share

• Money to those at the bottom will all be spent

These investments in our infrastructure, our communities and our people will make our entire

economy more competitive and prosperous.

Bringing Change to Washington:

The Action Plan

"Our nettlesome task is to discover how to organize our strength into compelling power." -- Martin Luther King Jr.

"Our nettlesome task is to discover how to organize our strength into compelling power." -- Martin Luther King Jr.

• Mobilizi

ng

Organizing

Lobbying

Mobilizing

Organizing

Lobbying

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InformationInformation

Join in the Campaign…Questions and Comments

"Change happens because the American people demand it—because they rise up and insist on new ideas and new leadership, a new politics for a new time. America, this is one of those moments.”

President Barack Obama