Officials in Kansas City and St. Louis have taken steps toward hiking each
city’s minimum hourly wage to $15 in response to protests for a “living wage.”
Missouri’s press tends to treat Fight for $15 as a grassroots movement led by
local fast-food workers. It’s anything but. Service Employees International
Union has poured more than $3 million into St. Louis Organizing Committee, one
of the groups orchestrating Fight for $15 events in Missouri.
In 2013, St. Louis Organizing Committee received $1.4 million from SEIU
headquarters in Washington, D.C. Last year that figure increased to $1.9
million.
Over the past two years, 99.9 percent of St. Louis Organizing Committee’s money
came from SEIU.
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Over the past two years, 99.9 percent of St. Louis Organizing Committee’s money
came from SEIU. Why has SEIU invested so much in St. Louis Organizing Committee?
Because the minimum wage campaign is really a union recruitment drive. Campaign
signs, banners and social media acknowledge as much with calls for “$15 and a
union.”
In a May news story, Communist Party USA even referred to SEIU’s Missouri-based
nonprofit as “the St. Louis Organizing Committee for ‘$15 and a Union.'”
RELATED: Union bosses are lovin’ $15 an hour fast-food protests
Over the past two years, St. Louis Organizing Committee has paid $1 million to
Missouri Jobs With Justice, a coalition of unions and left-wing nonprofits
playing a starring role in the Fight for $15 in Missouri.
In addition to SEIU’s generous — albeit indirect — funding, Missouri Jobs With
Justice got $53,750 from other unions in 2013 and $108,875 from other unions in
2014.
Through St. Louis Organizing Committee, in 2013 SEIU funneled $407,852 to
Midwest Center for Equality and Democracy, whose “Stand Up KC” campaign calls
for a minimum wage hike in Kansas City.
SEIU’s efforts in Kansas City and St. Louis may be just as D.C.-driven as
“grassroots” SEIU campaigns in other states, but SEIU is on the verge of two big
wins in Missouri.
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Kansas City Council could vote on a proposed $15 minimum wage
ordinance as soon as July. Mayor Sly James, an independent, has
convened a stakeholder group to talk about the proposal.
In St. Louis, Democrat mayor Francis Slay supports a proposed
minimum wage increase to $15 an hour by 2020.
Officials in Kansas City and St. Louis failed to respond to
questions about whether they had discussed the $15 minimum wage — or
potential exemptions for unionized workers — with SEIU organizers.
Not all Missourians are as enthusiastic about Fight for $15 as
Missouri Jobs With Justice is paid to be.
“Raising the minimum wage to $15 an hour is bad policy because it’s
going to cost jobs,” Michael Rathbone, a policy researcher at the
free-market Show-Me Institute, said in an interview with
Watchdog.org.
“People talk about getting a ‘living wage.’ Well, I’m sure it’s
difficult to live on a minimum wage salary — it’s gonna be a lot
harder to live on no salary at all,” Rathbone added.
Rathbone cited a 2014 study from the nonpartisan Congressional
Budget Office estimating a national minimum wage increase to $10.10
would cost 500,000 jobs.
“I shudder to think what the result would be if the minimum wage
went up to $15 an hour,” he said, noting that minimum wage mandates
reduce opportunities for entry-level workers to learn valuable
skills for higher-paying jobs.
Wage mandates may not help workers as advertised, but they’re great
for union bosses for reasons beyond the goodwill SEIU aims to create
among potential new members.
For unions collecting dues as a percentage of members’ pay, minimum
wage hikes automatically increase the amount of dues money the union
collects.
Because unions increase a business’ cost of labor, forcing all
employers to pay $15 an hour would take a competitive advantage away
from non-unionized businesses.
In Los Angeles, where unions recently won a fight to phase in a $15
minimum wage, unions hope to gain business support for unionization
by exempting their own members from the local wage mandate.
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