Posts tagged labor costs
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.
Clinicians push to unionize amid staffing, burnout concerns
May 25, 2026 // Among the most recent efforts in May are the more than 73% of the 870 nurses at SSM Health St. Mary’s Hospital in Madison, Wis., who signed cards supporting unionization. The group filed for a union election with the National Labor Relations Board on May 1 and is awaiting an election date. Nurses involved in the effort said they want a stronger voice in decisions affecting staffing, retention and working conditions.
Commentary: Mamdani Misreads What Gig Workers Want
May 21, 2026 // Arranged scheduling cuts directly against what gig workers value most: flexibility. More than 60 percent cite it as the main reason they chose this work, and few are interested in traditional, prescheduled jobs. They’re also more concerned about the lack of benefits than about wage rates. These realities underscore the wrongheadedness of Mamdani’s anti-gig campaign. A better approach would preserve flexible hours while expanding access to benefits. One promising model is a portable benefits system, in which workers and companies contribute to SEP IRA–style accounts that can be used to purchase health insurance, paid leave, or retirement plans. Numerous states—red and blue alike, from Tennessee to Maryland to Pennsylvania—have enacted portable-benefits systems for gig workers in recent years.
N.Y.C. Hotel Housekeepers Will Earn Over $100,000 Under New Contract
May 19, 2026 // “They’re going to try to offset that by raising rates,” he said. But how successful they would be is unclear, given that New York City already has the highest average room rates of any big city in the United States, at about $335 a night, Mr. Pequeno said. In the past year, New York hotels have also had the nation’s highest occupancy rate, at about 84 percent, he said. The agreement between the hotel workers and the industry comes about six weeks before the expiration of the current 14-year contract. For more than a year, union officials had been preparing for a strike in early July, just before the celebration of the 250th birthday of the United States and the final of FIFA’s World Cup tournament at MetLife Stadium in New Jersey.
Congressional progressives introduce $25 federal minimum wage plan
April 28, 2026 // Noah Finley, National Federation of Independent Business Illinois state director, has argued both the previous increase and new proposal would be harmful to businesses across the state. “Our members here in Illinois, they've been really struggling with the $15 an hour minimum wage in the state. That has been a huge burden for them,” Finley said. “They've had to cut back on employees. They've had to raise their prices. So, this is bad for workers, it's bad for consumers and it's bad for small businesses.”
California Clears Path for Gig Unions
November 23, 2025 // It's also clear that the political left will not be content to merely stop at unionization. Progressives like former California assemblymember (and sponsor of A.B. 5) Lorena Gonzalez (D–San Diego) have described unionization as "a step forward" but not "the limit of what's possible." Teamster President Sean O'Brien—whose GOP-convention speech highlighted Republicans' shift toward unions—has dismissed a similar Massachusetts unionization effort for gig workers, saying it supports "greedy corporations that want to deny full employment rights to workers."
Op-ed: The Bad Teamsters Bargain With UPS
October 30, 2025 // Businesses that lose money and are uncompetitive won’t survive. See trucking company Yellow Corp., which filed for bankruptcy in 2023 in part owing to Mr. O’Brien’s labor militancy. Mr. O’Brien refused concessions and tweeted an image of a tombstone “Yellow: 1924-2023.” UPS doesn’t want to be Mr. O’Brien’s next victim. The Teamsters boss has insisted that its contract requires UPS to create 30,000 jobs. He hasn’t read the fine print—or is misleading his members. UPS merely committed to giving part-time employees a chance to apply for some full-time job openings. If UPS reduces job openings, workers don’t have an opportunity to fill them.
America Doesn’t Have Enough Weapons for a Major Conflict. These Workers Know Why.
October 28, 2025 // Historically, in the fight against their bosses, unions have had only one real weapon to wield: their numbers. The primary goal of a labor strike is to blockade production and inflict pain on the company so that it will negotiate better terms. But in Orlando, it was hard for the union to enlist enough workers for the fight. Florida is a “right to work” state, meaning that union membership is optional. Workers in an organized factory are free to return to their stations and get back to work, leaving everyone else on the picket line to fight for a contract that would eventually apply to everyone.
Lessons from D.C.: Why “$30 by ‘30” Wage Plan Could Leave Servers with Less
October 26, 2025 // Mr. Mamdani’s plan is being aligned with a renewed push by progressive New York legislators to eliminate the tipped-wage system, which would require restaurant workers to be paid the same minimum wage as all other tipped-wage positions. Legislation has been percolating in Albany in recent years that would phase out the tipped wage by 2028, with a prominent “Living Wage for All Coalition” now launching to guide the effort to fruition. Behind the coalition is the group One Fair Wage, which has been spearheading a systematic effort to eliminate the tipped-wage system in progressive jurisdictions across America. One Fair Wage has seen success in large cities such as Chicago and Washington, D.C., but as these policies take hold, the economic reality is starting to bite.
California’s fast-food minimum wage is super-sizing job losses
July 15, 2025 // The damage for California doesn’t stop at job losses, as CEI has noted previously. The vast majority of California’s fast-food workers, 89 percent, have had their work hours reduced. Another 35 percent have seen their supplemental benefits reduced. Customers suffer as well. Menu prices for Golden State restaurants rose 14.5 percent between September 2023 and December 2024, nearly double the national rate of 8.2 percent for restaurants. Prices jumped 3 percent in the month after the minimum wage hike went into effect. Americans across all income groups eat fast food, but the core consumers are low-income families according to the Morning Consult. Any price increase is going to hit them the hardest.