Full
Employment at a Living Wage:
How
I will Fight for Good Jobs for All!
by
Rich Whitney, Green Party Candidate for
Governor of Illinois
The Problem: Not Enough Good Jobs for All Who
Need Them
The official unemployment rate in Illinois is currently
about 5.5 percent. Unofficially, unemployment is much higher, since the
official rate does not include people who still want jobs but have given
up actively searching for them. And as we know all too well in Southern
Illinois, many of those who are employed have marginal jobs low wage,
temporary or part-time jobs
that don't pay enough to support a family and
have no health-care or other benefits.
Let's start with a basic question: Why? Why, even
though American workers are among the best educated and most productive
in the world, do we still have the problem of widespread unemployment?
The Cause: The Private Sector Is Not Designed
to Create Full Employment or High Wages
If we think about it, the answer isn't too hard
to find: Our present economic system is not designed to create full employment.
The giant corporations that dominate our economy today are not in business
in order to employ people. They are in business for one reason only
to make the
maximum possible profit. And that means that they
are driven to eliminate jobs, to employ as few workers, working as hard
as possible, at the lowest wages that the job market will let them get
away with. If they can meet the same production goals by paying lower wages
somewhere else, including poor nations like Mexico, Haiti, China, etc.,
they will close up shop here and relocate there. If they can eliminate
jobs through automation, they will do that. But clearly, they and
the "private sector" as a whole are never going to create job opportunities
for all who need
them.
To need them, and promote equality of opportunity,
we cannot rely on the private sector. We must look to our government, and
to our own efforts as a people, to fill the gap.
The Solution: Creating Full Employment at a
Living Wage Must Become a Goal of Government
You would think that creating good jobs for all
would already be a goal of government. After all, the Preamble to
our Illinois Constitution states that our government was formed to "eliminate
poverty and inequality; assure ... social and economic justice" and "provide
opportunity for the fullest development of the individual." Yet both the
Democratic and
Republican politicians in Springfield today have
pretty much ignored this obligation. In fact, in his budget addresses,
Governor Blagojevich has repeatedly boasted about how many State jobs he
has eliminated!
Of course, we all want to eliminate waste in government.
But there are plenty of unmet social needs and lots of truly useful work
that people could do if our government were to provide the means. Here
are ten ways that a good, responsive government could go about creating
quality jobs, while improving our quality of life:
A Ten-Point Plan for Creating Good Jobs for
All
1. Renovating our infrastructure. A commitment
to renovating and properly maintaining our infrastructure waterways,
bridges, roads, rail lines, public buildings and facilities would
create thousands of good engineering, construction and maintenance jobs.
2. Building new, high-speed rail systems.
Our over-reliance on the automobile as a principal means of transportation
is exacting a terrible toll on our environment and makes us overly dependent
on foreign oil. Building a new system of high-speed railways inter-connecting
Chicago, Springfield, St. Louis, Carbondale-Marion and other key centers,
supplemented by
improved mass transit systems throughout the state,
will be good for the environment, improve our quality of life and be good
for our economy. Every billion dollars spent on rail transit creates 7,000
more jobs than the same amount spent on road construction.
3. Improving energy conservation. A uniform
statewide energy efficiency code could reduce our state's energy consumption
by over 30 percent, while creating over 59,000 new engineering, maintenance
and construction jobs by the year 2015.
4. Supporting the development of clean, renewable
energy. If Illinois were to adopt the "20/20" plan requiring
20 percent of its energy supply to come from renewable energy sources by
the year 2020 Illinois consumers would save about $3.6 billion from
lower energy bills, Illinois farmers could earn about $8 million from wind
energy lease payments and over 56,000 new jobs would be created. Lower
energy bills for businesses and consumers alike would stimulate spending
in other areas of the economy, creating still more jobs. Measures to encourage
the use of bio-energy, such as bio-diesel fuel, would benefit Illinois
farmers, create more jobs and improve our environment.
Coal can also play a part in this energy future
but only if we force the energy corporations to use the Integrated
Gasification Combined Cycle process, which can burn high-sulfur Illinois
coal almost as cleanly as natural gas and immediately retire older
plants that kill thousands of people every year and contribute to global
warming while burning out-of-state coal. Meanwhile, research into
other clean-coal technologies, such as using coal to generate hydrogen
fuel cells, should be stepped up. More immediately, we need to establish
a major grant-and-incentive program to install energy-saving geothermal
heating/cooling systems in homes and businesses. This could employ thousands
of currently unemployed former coal miners and other industrial workers
at good, safe jobs that pay a decent wage.
5. Supporting small businesses — for real.
Although giant corporations make headlines when they employ — or lay off
— workers by the thousands, it is the thousands of small businesses in
the State that are actually the best job creators. Small businesses already
get a tough break from the federal government, where they got socked, for
example, by the Self-Employment tax, then have to pay again on the same
income on their income taxes! The State of Illinois doesn't help matters,
as it overloads small business owners with the so-called Replacement tax
and unemployment insurance payments, on top of payroll taxes, sales taxes
and numerous fees — all of which require hours of paperwork to process.
While some of these taxes are essential, we can and should do better at
reducing the burdens on small businesses, by eliminating some fees and
better consolidating our tax structure. In addition,
the State can and should do better at assisting small businesses and especially
new startups by making low-interest revolving loans and grants more readily
available.
6. Promoting capital improvement and public
works. Besides renovating our infrastructure, we need to improve it,
by, for example, building better parks and recreational facilities, libraries,
schools and low-income housing, all of which are badly needed.
7. Creating more, better-paying social service
jobs. The Illinois Department of Human Services, the Department of
Employment Security, Department of Children and Family Services and other
state agencies could be used to gainfully employ people in the service
of others who need help — drug and alcohol rehabilitation, prison rehabilitation
programs, adult education, job placement, parenting education and prenatal
care, child care, public health, elderly care and more. These agencies
are understaffed and its workers underpaid. Yet investments in "human services"
pay off in the long run, as they reduce the social costs of crime, poverty
and disease.
8. Raising the minimum wage. A full-time
job should provide enough income to support a family but many jobs today
don't pay nearly enough. The buying power of the minimum wage has fallen
by more than 20% since a peak in 1979, even as productivity has increased
by more than 35%. If the minimum wage had kept up with increases in productivity
since 1967, it would now be around $11 per hour. I would support raising
the minimum wage to $7.50 an hour right away, and then gradually increasing
it until it approaches its 1967 value, adjusted for inflation and gains
in productivity. Partial exemptions could be permitted for start-up and
small businesses, hardship cases and summer youth employment.
9. Passing a living wage law. A living wage
law would require State government to pay its own employees a living wage,
and require every firm that receives a benefit from the State such
as a contract, subsidy or tax exemption to pay its employees a living
wage. The law would define a "living wage" as a wage equivalent to the
federal poverty level for a family of four, (roughly $8.30/hour), plus
full health benefits, or, alternatively, 25% above the federal poverty
line for a family of four. Businesses that receive a benefit from government
ought to be required to return the favor to the State and its people.
10. Making corporations accountable and encouraging
other forms of business ownership. A corporation is a special form
of business ownership that exempts owners from legal liability for any
misconduct. Originally, in exchange for this privilege, state governments
would charter corporations under strict conditions, placing limits on their
business activity and requiring socially responsible behavior. Today, however,
corporations have become so powerful that they control state governments
instead of the other way around! In Illinois, they have used their great
power and influence over government to win hundreds of millions of dollars'
worth of special tax exemptions and subsidies — causing much of the State's
current budget crisis.
The people of this State need to fight to reclaim
our democracy from the power and influence of the giant corporations. That
is why this campaign, like other Green Party campaigns, does not accept
corporate campaign contributions. If elected, I will fight to restore corporate
chartering laws and regulations needed to curb corporate misconduct and
promote the social good. I will also promote worker ownership and control
of corporations, and workers' cooperatives, as an alternative to the corporate
model based on exploiting workers. Instead of using tax breaks and subsidies
to enrich giant corporations that behave irresponsibly, we can provide
modest tax credits, grants and low-interest revolving loans to worker-owned
enterprises and to those corporate entities that agree to hold themselves
accountable to the public interest.
When corporations do behave irresponsibly by shutting
down and/or relocating production facilities, local governments should
be authorized to use the power of eminent domain to take control over those
facilities and turn them over, either to their workers, organized as a
cooperative, or to homegrown small businesses.
Questions and Answers
If you create all these government jobs, won't
this raise my taxes?
Obviously, any government job program will cost
money. But it won't cost as much as you might suppose. Money spent on good
job creation will obviously reduce the costs spent on unemployment insurance,
welfare and other services to the poor, and in the long run will reduce
the costs imposed by crime and other social disorders.
Our tax system in Illinois is in need of a major
overhaul. Years of big tax giveaways to big corporations and the wealthy
have made a mess of our State budget. To address this problem, and meet
other social needs like the need for good jobs, overall tax revenues will
have to go up. It's better to be up-front and honest about calling
for a tax increase than to duck the issue and pretend that our stubborn
budget problems will go away.
However, if elected, I will fight to overhaul our
tax system to make it more fair, reversing the special favors for big business
and the wealthy, placing more of the burden on those best able to pay,
and reducing the burden on lower and middle-income workers. This tax reform
plan also
includes provisions for badly needed property
tax relief. (See my budget position paper for more details.)
Besides, setting aside a reasonable share of our
collective wealth to provide for the common good is what government is
supposed to be about. People naturally resent paying taxes when government
is wasting money on things that do not benefit society. But spending tax
dollars on projects that create high-quality jobs for all, while improving
our quality of life and
our environment is money well worth spending.
Won't this just drive businesses out of Illinois?
The gains in employment will far outweigh any losses.
Some businesses will be attracted by having a well-educated and well-trained
workforce, higher productivity and a high quality infrastructure. The Whitney/Green
Party plan for full employment would give Illinois a big advantage on that
score. Government-provided universal health care — which I will also fight
for would provide a huge cost savings to businesses, especially those
that employ highly trained, better-paid workers, and would make Illinois
a very attractive place to do business.
A well-paid, fully employed work force would also
provide a tremendous surge in consumer spending, which in turn would attract
additional business, as well as spur investment in existing and/or new
businesses. The Whitney/Green Party plan would also counter the problem
of "runaway shops" by using the State's power of eminent domain to take
hold of their facilities and place them under new ownership, as described
in point 10 of the program.
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