Posts tagged corruption

Pennsylvania Officials Charge Two in Scheme to Divert Union Funds
May 15, 2024 // Woods, 39, who held a position as an executive officer within District 1199C of the National Union of Hospital and Healthcare Employees, is accused of approving union payments to Hardy’s unlicensed construction company under false pretenses. According to the investigation conducted by the Office of Attorney General and the Federal Bureau of Investigation, the duo misled the union’s executive board with fabricated bids from other companies to inflate the price paid for bar renovations at the union’s premises. Subsequently, a significant portion of these payments were funneled to Hardy’s political consulting firm, purportedly to support political activities ahead of the 2019 Democratic Primary election. The grand jury’s investigation led to recommendations for charges against both men, including participation in corrupt organizations, theft, and forgery. Hardy, 51, alongside Woods, faces accusations of circumventing Pennsylvania campaign finance laws and federal union reporting regulations.
No, Unions Aren’t Having a Resurgence—and That’s Good for Workers
May 9, 2024 // Introducing more competition to the private sector union business model could help. For that, my colleague Liya Palagashvili suggests ending the exclusive-representation clause that "provides government-granted monopoly status to a union supported by 51 percent of an employer's workers, giving it the sole authority to negotiate. This means that if some workers want a different union—for example a newer one that might raise the bar in terms of what it can offer—they are out of luck." Today, these workers aren't allowed to engage in any negotiations with their employers, and they still have to pay the original union's fees.
Parity in Labor Transparency
April 24, 2024 // The institutional left has sought to reward Big Labor by making union organizing campaigns shorter, or bypassing them with “card check.” Big Labor knows that the dynamics of union organizing rely on labor unions being able to make their pitches to workers from trusted positions without skeptical responses from other workers or employer representatives. And they only need to win the vote once to start collecting dues and engaging in compulsory bargaining. As long as government-recognized and government-empowered compulsory union bargaining exists, the government require workers be given all the information before deciding whether to form a union and bargain collectively. The SALT Act would accomplish this needed reform.

Hochul wins fight to create anti-mob group aimed at NYC waterfront
April 19, 2024 // Like the prior comission, it will continue to conduct critical investigations into organized crime in the Port of New York, as well as ensure fair hiring practices that bar discrimination. It will conduct background checks and license companies and people working in the cargo business at the port. The commission will have the power to oust employees from the workforce who are found to have engaged in serious criminality and other violations.

Commentary: Chattanooga VW Workers Need to Be Wary of the UAW’s Push to Unionize Plant
April 10, 2024 // Autoworkers need to be skeptical of UAW promises and motives, knowing that the UAW is at its lowest membership level since the great recession. This deeply personal decision should only be made after knowing all the facts, not just what they hear from a union hungry for Tennessee dues. The UAW can make grand promises to employees, but once they are organized can refuse accountability on any unfulfilled promises. Remember: workers cannot remove a union just by claiming they were promised something that the union did not deliver on.
Rigged: The fight over a union election in New York City
April 3, 2024 // According to Local 983’s filings, Puleo in 2022 received $349,083 in compensation from the union, more than 10 percent of the $3.2 million Local 983 received from membership dues, meaning at least ten cents of every dollar members paid the union for representation went to him. Puleo gets an extra bump of $22,522 from the District Council, bringing total pay in 2022 to $371,605, putting his pay just above that of DC 37 Executive Director Henry Garrido, and well above the compensation for Mayor Eric Adams and New York Governor Kathy Hochul. Puleo and his union administration had won election in 2013 over long-time incumbent Mark Rosenthal. Rosenthal had been elected to union leadership in 1998 following a corruption investigation that revealed a “vast pig-sty of corruption, self-dealing, lavish party going, and vote rigging,” according to City Journal. The scandal within DC 37 saw union local presidents in handcuffs and DC 37 placed under trusteeship by AFSCME International. Rosenthal came in and cleaned house. When he was elected, it was the first contested election in 20 years and it was not without controversy, including accusations of threats and intimidation. Puleo won an election in 2013 over the aging Rosenthal, who since passed away in 2017, and has been at the helm of Local 983 ever since.

Legal documents say union funneled $1.8M into lost trust fund
April 2, 2024 // New legal documents filed recently in an ongoing union corruption case in Pennsylvania say officials funneled $1.8 million into a trust fund that’s yet to be recovered and then destroyed evidence of its existence. The lawsuit, filed in 2020 by The Fairness Center on behalf of three workers at a state prison in Huntingdon, accused the treasurer of the local chapter of the Pennsylvania State Corrections Officers Association of misappropriating $20,000 between 2009 and 2018. The three workers – Cory Yedlosky, William Weyant, and Chris Taylor – even shared their concerns with union executive board members in Harrisburg but were ignored, according to court documents.
Commentary: Biden fosters Big Labor cronyism
March 25, 2024 // It is bad enough that union dues go to political activity that workers may or may not agree with. It is worse that some union bosses are stealing money from the workers that they claim to represent. Every dollar that a union boss steals is one dollar less that a worker can put toward sending their children to school, putting food on the table, or building a nest egg. The Biden administration enables union corruption because union dues overwhelmingly go toward electing Democrats. Biden’s refusal to pull union bosses away from the trough directly harms workers. Unlike Biden, House Republicans are leading the charge to stamp out union fraud and corruption.
House Seeks Information from Unions on Policies to Prevent Corruption
March 20, 2024 // Each of the letters asks for a comprehensive description of the policies and procedures the union has in place to monitor and deter fraud, corruption, and improper accounting, including any third-party audits, the types of training and education provided to prevent fraud or corruption, internal reporting mechanisms, and disciplinary policies. These questions apply both to each union’s headquarters as well as its locals. U.S. House Subpoenas UAW Local over Controversial Resolution Chairwoman Foxx cites specific examples of corruption for each union. For example, in the Teamsters letter, she cites a state senator from Illinois who was indicted for taking more than $245,000 in fraudulent income and other benefits from Teamsters Joint Council 25 while purporting to be a union organizer.

Chair Foxx Investigates 12 Unions for Recent Fraud, Corruption Seeks answers on protecting workers from further union malfeasance
March 18, 2024 // “The Committee on Education and the Workforce (Committee) is concerned about fraud, embezzlement, and corruption perpetrated by union officials. To ensure workers represented by labor organizations are shielded from malfeasance by union officials, the Committee requests documents and information relating to…efforts to protect employees and deter fraud, corruption, and improper accounting.”