Cost-cutting targets public unions

As states face growing budget deficits, elected officials across the country are trying to limit the power of labor unions, particularly the ones representing government employees.

The New York Times reports that in states with Republican majorities, lawmakers are trying to weaken the bargaining power and political influence of unions, including those presenting private sector employees.

The Times reports that many of the proposals to curb union influence may not become law. But whatever does pass will probably reduce the influence of unions in elections.

The attacks on unions come as officials from both political parties look to cut government pay and benefits to lower the deficit.

However, the two-year federal pay freeze does not apply to any increases required by current collective bargaining agreements.

Bob Gilson writes in FedSmith that employees exempt from the pay freeze include the ones in the Federal Aviation Administration, Federal Deposit Insurance Corporation, Securities and Exchange Commission, National Credit Union Administration and “a fair number of obscure or small agencies [that] bargain pay for their organized employees.”

These are some of the highest paid feds, Gilson writes.

So, did the executive order to freeze pay accidentally let unions slip through the cracks? Or was this in return for unions’ support of the Obama administration in the 2008 election?

Gilson writes, “Let’s test the logic trail: unions support current President in election, President issues unpopular pay freeze covering everybody but some unionized employees, if they’re left out, who will notice, ergo let’s do the unions a favor.”

This story is part of our daily DorobekINSIDER Must Reads. Be sure to check out the full list of stories.



Jan 21, 2022 Close Change YTD*
L Income 23.1038 -0.0845 5.42%
L 2025 11.8829 -0.0822 9.75%
L 2030 41.7659 -0.4088 12.37%
L 2035 12.5242 -0.1347 13.43%
L 2040 47.3239 -0.556 14.51%
L 2045 12.9434 -0.1631 15.40%
L 2050 28.3195 -0.3815 16.34%
L 2055 13.8821 -0.2317 19.90%
L 2060 13.8819 -0.2317 19.90%
L 2065 13.8818 -0.2316 19.90%
G Fund 16.7517 0.0007 1.38%
F Fund 20.5326 0.0627 -1.46%
C Fund 66.4328 -1.2799 28.68%
S Fund 73.0036 -1.7193 12.45%
I Fund 38.2607 -0.4114 11.45%
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