Posts tagged corruption
Trump Gives Teamsters a Chance to Shed Oversight Meant to Curb Mob Ties
June 25, 2026 // Sean M. O’Brien, re-elected to a second term leading the union, has used a relationship with President Trump to end court-ordered corruption monitoring.
GM lawsuit could fuel debate over calls for worker seats on corporate boards
June 23, 2026 // General Motors filed its lawsuit against Chrysler in 2019, after the U.S. Department of Justice successfully prosecuted executives, employees, and union officials at Chrysler for financial and collective bargaining corruption. At the center of the suit is Iacobelli’s role as a labor relations executive responsible for union negotiations and labor-management programs. The lawsuit claims that the union used Iacobelli’s position at GM to obtain confidential information and create bargaining contracts at Chrysler that gave it a competitive advantage over GM.
Opinion: UAW Constitutional Convention can protect direct democracy
June 17, 2026 // We also know what the delegate system got us: corruption and concessions. Throughout the final decade of delegate elections, members endured concessions that weakened our contracts and confidence in our union. At the same time, top officials were involved in a racketeering, bribery and embezzlement scandal that eventually landed them in prison. All the while, the delegate system continued to produce leaders from the same Administration Caucus.
Shawn Fain seeks reelection as UAW convention tackles major policy issues
June 15, 2026 // Key issues include: Increasing strike pay from $500 to $625 per week. Potentially reducing union dues from 2.5 hours of pay to 2 hours. Determining how aggressively to fund future organizing campaigns. Clarifying membership and retiree eligibility rules. Protecting the union’s direct election system. The convention comes as the UAW navigates the aftermath of a corruption scandal that sent two former presidents to prison and placed the union under federal oversight. Notably, court-appointed monitor Neil Barofsky has criticized Fain and other senior leaders over transparency and internal governance concerns, with another report expected soon.
NC couple, execs stole $20M from union for ritzy trips, meals & salaries, jury finds
June 10, 2026 // Nearly $2 million more in salaries and benefits were paid to others for jobs that did not require them to work, including $1.8 million paid to Kateryna Jones, documents show. She got some of the money while she was dating Newton Jones and still living in Ukraine, they said. The Chapel Hill couple also enjoyed date night meals that totaled over $160,000 and charged shopping trips and other personal expenses to the union, prosecutors said. Over $5 million was spent on “unnecessary and lavish international travel,” including executive meetings held “for no apparent purpose in extravagant hotels” in Paris, Rome and other cities.
Jury deliberations underway in KCK in Boilermakers monthlong racketeering trial
June 3, 2026 // The defendants are charged with using union funds for salaries and benefits for no-show jobs, luxury international travel, fine dining, vacation payouts and unauthorized loans. On trial are former International President Newton Jones, 72, and his wife, Kateryna, 33, of Chapel Hill, North Carolina; former International Secretary-Treasurer William Creeden, 78, of Kearney, Missouri; and former International Vice President Lawrence McManamon, 78, of Rocky River, Ohio. The four defendants are among seven former union members indicted in August 2024 for conspiracy to commit offenses under the federal Racketeer Influenced and Corrupt Organizations (RICO) Act, as well as embezzlement, health care fraud, wire fraud and other felonies.
JD Vance Courts Sean O’Brien and the Teamsters
June 1, 2026 // Mr. O’Brien is desperate for a win in Washington to sell to his 1.3 million members as he runs for re-election. Some Republicans in Congress seem eager to give him one—maybe two—as they seek to burnish their bona fides as defenders of the working class. These Republicans are doing more to help Democrats—the primary beneficiaries of Teamster campaign donations—than workers. The Teamsters’ membership has shrunk by nearly half since the 1970s amid a broader decline in organized labor. Technology has improved productivity. At the same time, jobs have migrated to states with right-to-work laws, which prohibit unions and employers from making union membership a condition of employment. The Teamsters have also lost rank-and-file support. Between 2016 and 2025, members filed 373 petitions to decertify the Teamsters, according to Reason magazine. Some 60% of the decertification elections succeeded. You can’t blame union members for wearying of paying dues that bankroll Democratic candidates and lavish lifestyles of union leaders. In the 2023-24 election cycle, 92% of Teamsters PAC donations to federal candidates went to Democrats, as did 91% of the union’s contributions to party committees.
Whistleblower Bombshell Shakes Midtown Hotel Union As Owners Quietly Dig In
May 26, 2026 // New York hotel owners have quietly launched internal reviews after a whistleblower alleged corruption inside the Hotel and Gaming Trades Council, the powerful union that represents thousands of hospitality workers across the city. The allegations surfaced this month and have hotel bosses rethinking negotiations and communications at a particularly sensitive time for the industry.
Leadership of Norfolk teachers’ union ousted, president accused of misappropriating funds
May 26, 2026 // The documents outlined “the clearest example where Mackey and the executive board failed to exercise their fiduciary obligation to the membership” as a clothing allowance that was raised to $3,000 and stipends for hourly work despite holding a salary position. NFT officers had not been elected in a democratic manner, the decision and order read. Half the union’s executive board had been appointed. Its members, in a meeting, nominated one another for office. Hernández-Mats said only 16 of 1,100 dues-paying members participated in that union election. Many of these ranking members, she said, enabled the spending outlined in the report. Union budgets during that period, the documents read, included unreliable figures and displayed a lack of transparency.
Johnny Doc took the stand and asked a federal judge to release him from prison early to care for his ailing wife
May 20, 2026 // Dougherty, 65, was sentenced in 2024 to six years in prison after being convicted in separate trials — the first in 2021, after a jury found that he had spent years bribing former Philadelphia City Councilmember Bobby Henon, the second in 2023 over nearly $600,000 he and others embezzled from the union. The former leader of Local 98 of the International Brotherhood of Electrical Workers, Dougherty was known as a gregarious and chatty political player, with influence from City Hall to Harrisburg. And some of those traits were evident during Monday’s hearing, including the fact that one of the spectators in a crowded gallery was his brother, Pennsylvania Supreme Court Justice Kevin Dougherty. John Dougherty’s testimony was also reminiscent of the freewheeling style he displayed before he was incarcerated. He delivered long anecdotes about his wife’s condition, which dates back to 1999, and described ways in which he sought to care for her, including by living with her at rehabilitation facilities for years before his federal indictment.