News Story

Supreme Court Could Bring Right-To-Work To Government Employees Nationwide

Janus case a do-over of the Friedrichs case; ruling expected next June

The United States Supreme Court has taken up a case that most legal pundits predict will deal a severe blow to government employee unions.

The court announced on Sept. 28 that it will hear the case Janus v. American Federation of State, County and Municipal Employees, Council 31 during its next term. Observers expect the court to deliver its opinion in June 2018.

Mark Janus is a state of Illinois employee who is forced to pay agency fees to his union — AFSCME Council 31 — against his will. He says that forcing public sector employees to pay an agency fee violates their First Amendment rights. Public sector unions are inherently political entities, the argument goes, so requiring government employees to make payments to a union as a condition of employment also makes an employee fund political speech.

If the Supreme Court rules in favor of Janus, as is expected, it would have the same effect as establishing a right-to-work law for public sector employees across the nation. Currently, 28 states have such a law.

Michigan passed right-to-work legislation in 2012, but Janus would still have some impact on public sector workers here.

Police and firefighters are not covered by Michigan’s right-to-work law. Also, a handful of municipalities, acting with their unions, extended collective bargaining agreements by up to 10 years or even longer just before the law took effect. This had the result of requiring employees to continue to financially support their local union despite the new law.

If the high court sides with Janus, the largest impact will be in states that don’t have a right-to-work law.

For example, the California Teachers Association collected $172 million in union dues and fees in 2016, according to a report the union filed with the federal government. That union has 325,000 members.

If right-to-work became the law in California and had the same impact on union membership there as it did on the Michigan Education Association, the California union would, within four years, lose about 72,500 members.

“With the Supreme Court agreeing to hear the Janus case, we are now one step closer to freeing over 5 million public sector teachers, police officers, firefighters, and other employees from the injustice of being forced to subsidize a union as a condition of working for their own government,” said National Right to Work Legal Defense Foundation President Mark Mix, in a press release.

The public sector unions say the Janus case is an attack on working people.

The nation’s four-largest public sector unions — the American Federation of Teachers, the National Education Association, the Service Employees International Union, plus AFSCME — issued a statement in response to the Supreme Court’s announcement:

“The Janus case is a blatantly political and well-funded plot to use the highest court in the land to further rig the economic rules against everyday working people.” It continued, “The billionaire CEOs and corporate interests behind this case, and the politicians who do their bidding, have teamed up to deliver yet another attack on working people by striking at the freedom to come together in strong unions. The forces behind this case know that by joining together in strong unions, working people are able to win the power and voice they need to level the economic and political playing field. However, the people behind this case simply do not believe that working people deserve the same freedoms they have: to negotiate a fair return on their work.”

Janus is very similar to the case Friedrichs v. California Teachers Association. The Supreme Court deadlocked on that case after Justice Antonin Scalia died in February 2016, shortly after it heard oral arguments.

The Mackinac Center for Public Policy, which publishes Michigan Capitol Confidential, has filed an amicus brief in the case, supporting Janus.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.

Editorial

Does ‘True Success’ for Michigan Business Mean Government Handouts?

Step 1: Sen. Debbie Stabenow introduces you to state corporate welfare agency

Gov. Rick Snyder called a startup food cart maker a “true Michigan success story” on Sept. 27 when he attended the firm’s ribbon-cutting ceremony in Walker, according to the news site MLive.

MLive reports, “It began with U.S. Senator Debbie Stabenow” introducing the owner to the Michigan Economic Development Corporation. The MEDC then approved a $200,000 grant to the company, which was launched in 2016.

ForTheRecord states: Michigan is indeed filled with small businesses that are success stories. But hardly any of them begin with a politician introducing an entrepreneur to a corporate welfare agency.

In the case of the particular handout program involved in this grant, just 73 companies benefited in 2016. According to one very broad definition used by the U.S. Small Business Administration, there are 856,682 small businesses in Michigan.

The reality is that many of them have to overcome obstacles imposed by government regulations.

Consider a retail food cart operator who wants to operate in the city of Kalamazoo.

The startup would first have to pay $500 to get a license. The city government limits these to just 10 a year, so few ever get that far. The business owner who decides to set up shop on private property, such as a parking lot, will need a permit for that, too.

Food trucks are another popular mobile meal vendor, but in Kalamazoo, the city prohibits them from doing business within 150 feet of an existing brick-and-mortar restaurant. And the food truck may not operate within 500 feet of any fair or festival unless the vendor has first obtained permission from the event sponsor.

“There are so many government regulations, so many things that have to happen today to start a business, it is harder and harder to be that success story,” said Amanda Fisher, assistant state director for the Michigan chapter of the National Federation of Independent Business.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.