September, 08 2009, 12:50pm EDT
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Public Citizen President Robert Weissman on ...
Public Citizen President Robert Weissman on ...
Corporate influence over national policy
WASHINGTON
Public Citizen President Robert Weissman on ...
Corporate influence over national policy
"There is a common link between the policy failure to impose
meaningful restraints on Wall Street, drug companies marketing unsafe
drugs, a deeply flawed climate bill, a dysfunctional health insurance
system that results in 18,000 preventable deaths a year, cable
companies' ability to impose onerous contractual terms, and a global
trading system that undermines our government's authority to adopt
consumer, environmental and worker protections. That common link is
excessive and unchecked corporate power. Public Citizen has always been
a leader not only in addressing issues directly related to health,
safety and environmental protection, but also in working directly to
curb excessive corporate power.
"I hope to help us continue to challenge - and break down - the
false boundaries corporations have successfully imposed on policy
debates. In healthcare, the Obama administration and congressional
leaders have refused to consider the only approach - a
Medicare-for-All, single-payer system - that can cure the system's dual
ills: runaway costs and denial of coverage to tens of millions. In
climate, the legislation that has passed the House of Representatives
utterly fails to produce the economic transformation that the science
tells us we must undergo to avert climate catastrophe. In financial
regulation, the banks have defeated the most important legislative
proposals to mitigate the mortgage epidemic - leading Senate Majority
Whip Dick Durbin to say the banks 'own the place.' The banks have
announced they intend to "kill" the most important regulatory proposal
from the Obama administration - a proposed new financial consumer
protection agency. Our job at Public Citizen is to refuse to let
corporations impose these kinds of limits on policymaking."
Climate change
"Climate change is the greatest threat to the well-being of the
planet and its people. It is going to be the defining issue of the next
50 years - and the world is right now on a terribly worrisome
trajectory.
"It is good to have an administration that acknowledges the reality
of climate change and wants to address it, but the proposals on the
table are woefully inadequate. King Coal, Big Oil and the utilities,
among other industrial and agribusiness interests, have joined together
to, so far, thwart an appropriate policy response.
"There is great opportunity in responding to the crisis, with more
attention to the vibrancy of local communities, the creation of
millions and millions of new jobs, greater equity, and a sense of
shared national and global mission.. New efficiency and energy
technologies can be the engine for an economy that has lost its drivers
- which, for this decade, were the financial sector and housing.
Decentralized generation and distribution offer the possibility for
more independent and livable communities.
"But to respond to the crisis will require first recognizing it for
what it is - not just another in the list of important issues, but an
existential threat to the planet. We - all of us together, with
government in the lead - have to mobilize resources and organizational
might commensurate with the scale of the threat. In the United States,
we have to mobilize the way the country did for World War II.
"Public Citizen brings a long history of working on climate-related
policies like fuel economy standards, subsidies for fossil fuels,
stopping new coal plant construction, and promoting the development of
solar and renewable energy technologies. We are going to build on that
tradition and leverage our collective expertise in matters from global
trade to administrative law. We are going to engage our members and
allies so that together we build a strong citizen movement to overcome
the fossil fuel lobby and avert climate catastrophe."
The financial crisis
"Through its avarice and recklessness, Wall Street has sunk us into
the worst recession of the past 70 years - and, not so incidentally,
destroyed many of its leading firms. Those that survive are dependent
on the trillions of dollars in public funds used to bail out Wall
Street and the big banks.
"Yet rather than express shame and apologize, these institutions
continue to dominate the policymaking debate. Senator Durbin says the
banks "own the place," in the context of their defeat of mortgage
cramdown legislation - a modest measure to address foreclosures that
would very likely benefit banks but would contravene their ideological
opposition to adjusting loan principle. The banking industry openly
announces its plans to 'kill' the most significant Obama
administration financial regulatory proposal - to create a new
financial consumer protection agency.
"We need a smaller financial sector. We need to shrink the size of
the giant banks, impose meaningful restraints on compensation for
executives and highly paid employees (because pay packages incentivized
reckless risk-taking), impose a financial transaction tax, empower
consumers, and offer much more institutional support for community
development banks and credit unions."
Health care reform
"The richest country in the world spends far more than other wealthy
nations on healthcare (at least 50 percent more than every country
except Luxembourg) but sports middling health indicators. It permits 45
million people to live without health insurance, denying them access to
preventative and routine care, resulting in the death of 18,000 people
a year. It tolerates private health insurance companies making
life-and-death rationing decisions for millions of people with only
minimal accountability. It lets private health insurers refuse to take
sick people as customers and engage in endless manipulations to discard
its customers if they do become sick. It features a system in which
medical bills and illness contribute to almost two out of three
personal bankruptcies - even though three-quarters of these bankrupt
people had insurance when they became sick.
"There is a cure all for these ills. It is a Medicare-for-All,
single-payer system, in which everyone is guaranteed access to
healthcare as a matter of right and the government pays medical bills
(thus operating as the "single payer").
"Unfortunately, instead of advocating for this approach - which
President Obama supported as a state senator, and which he still says
would be superior if the system was being designed from scratch - the
Obama administration has sought to reach an accommodation with the
insurance industry, hospitals and Big Pharma."
Money in politics/public financing of elections
"We now have a president eager to take on the big issues -
healthcare, climate change, financial regulatory reform. But in each
case, things are going very wrong. That's because of excessive
corporate power in general, and the distorting power of corporate money
in politics in particular. Indeed, the extraordinarily serious problems
with health care, climate and the financial system are traceable in
large part to money in politics. Wall Street invested more than $5
billion in campaign contributions and lobbying in the decade preceding
the financial meltdown, for example. That money bought them a series of
deregulatory moves that paved the way for the financial meltdown. Now,
with it no longer possible to deny that these problems need addressing,
corporate money is working - all too successfully - to prevent
meaningful remedies.
"With the Citizens United case, the Supreme Court appears poised to
make a bad situation much worse. The court may permit corporations to
spend unlimited amounts of money from the company treasury to support
electoral candidates. Such a decision will unleash a tsunami of
corporate money - probably the best investment a business can make - to
slant elections in favor of corporate-friendly candidates. That money
not only will affect the outcome of races, it will further lead
candidates to engage in self-censorship when they risk offending
powerful business interests.
"Running effective campaigns that engage voters costs money. But it
is equally obvious that elections funded by private money give
disproportionate influence to the wealthy. The simple solution is to
treat elections as a public good (we do, after all, still have public
financing of the electoral apparatus itself) and to provide public
financing for candidates."
Pending free trade agreements
"Designed by the world's largest corporations, our global trading
system benefits those who designed it. Trading rules, including those
in existing and pending free trade agreements, strip power away from
democratically elected governments. Trade rules prevent our federal
government and our states (as well as other governments) from
protecting consumers and the environment. They interfere with efforts
to promote community development and the preservation of good-paying
jobs. They give pharmaceutical companies the right to price gouge the
world's poor, and help agribusiness eliminate family farms.
"When it comes to trade, we need a redirection. We need trade rules
that enhance democracy and ensure that trade advances rather than
undermines the things we want from an economy: safe products,
good-paying jobs and decent livelihoods, vibrant communities and a
healthy planet.
"The Trade Reform, Accountability, Development and Employment
(TRADE) Act offers us a way to achieve this redirection. There is
overwhelming public support for the course correction that the TRADE
Act would achieve; the only question is whether the public can be
organized to overcome the entrenched interests supporting the trade
status quo."
The state of the regulatory system
"Whether it comes to health and safety, environmental protection or
maintaining a working financial system that serves all people, our
regulatory system is broken. It is the victim of more than two decades
of deregulatory ideology, misguided court decisions, inappropriate
budget cutbacks, inappropriate reliance on partnership with industry,
distorted cost-benefit analyses and simple corporate capture.
"We need more funding for regulatory agencies - which more than pays
for itself in injuries and illness prevented, lives saved and
environmental space preserved. We need to validate the work of food
inspectors and drug regulators who help keep us safe. We need to ensure
regulatory independence, and empower and direct regulatory agencies to
prioritize their health, safety and related missions over accommodating
the industries they regulate. We need to make sure the courts remain
available for victims of corporate violence, irrespective of whether
their actions were blessed by regulators. And we need to organize and
create mechanisms so citizens can band together to hold regulators (and
the corporations they regulate) accountable."
Public Citizen is a nonprofit consumer advocacy organization that champions the public interest in the halls of power. We defend democracy, resist corporate power and work to ensure that government works for the people - not for big corporations. Founded in 1971, we now have 500,000 members and supporters throughout the country.
(202) 588-1000LATEST NEWS
'Tragic Outcome' for Gig Workers as California Supreme Court Hands Win to Uber, DoorDash
"Today's ruling only strengthens our demand for the right to join together in a union so that we can begin improving the gig economy for workers and our customers," the case plaintiff said.
Jul 25, 2024
Labor advocates on Thursday decried a ruling by the California Supreme Court upholding a lower court's affirmation of a state ballot measure allowing app-based ride and delivery companies to classify their drivers as independent contractors, limiting their worker rights.
The court's seven justices ruled unanimously in Castellanos v. State of California that Proposition 22, which was approved by 58% of California voters in 2020, complies with the state constitution. Prop 22—which was overturned in 2021 by an Alameda County Superior Court judge in 2021—was upheld in March 2023 by the state's 1st District Court of Appeals.
The business models of app-based companies including DoorDash, Instacart, Lyft, and Uber rely upon minimizing frontline worker compensation by categorizing drivers as independent contractors instead of employees. Independent contractors are not entitled to unemployment insurance, health insurance, or compensation for business expenses.
There are approximately 1.4 million app-based gig workers in California, according to industry estimates.
While DoorDash hailed Thursday's ruling as "not only a victory for Dashers, but also for democracy itself," gig worker advocates condemned the decision.
"Over the last three years, gig workers across California have experienced firsthand that Prop 22 is nothing more than a bait-and-switch meant to enrich global corporations at the expense of the Black, brown, and immigrant workers who power their earnings," plaintiff Hector Castellanos, who drives for Uber and Lyft, said in a statement.
"Prop 22 has allowed gig companies like Uber, Lyft, and DoorDash to deprive us of a living wage, access to workers compensation, paid sick leave, and meaningful healthcare coverage," Castellanos added. "Today's ruling only strengthens our demand for the right to join together in a union so that we can begin improving the gig economy for workers and our customers."
Lorena Gonzalez, president of the California Federation of Labor Unions, AFL-CIO, said that "we are deeply disappointed that the state Supreme Court has allowed tech corporations to buy their way out of basic labor laws despite Proposition 22's inconsistencies with our state constitution."
"These companies have upended our social contract, forcing workers and the public to take on the inherent risk created by this work, while they profit," she continued. "A.B. 5 granted virtually all California workers the right to be paid for all hours worked, health and safety standards, unemployment insurance, workers compensation, and the right to organize."
"Rideshare and delivery drivers deserve those rights as well," Gonzalez stressed.
The Gig Workers Rising campaign said on social media that "Uber and other app corporations spent $220 million to buy this law, and they did it by tricking Californians."
Prop 22's passage in November 2020 with nearly 59% of the vote was the culmination of what was by far the most expensive ballot measure in California history. App-based companies and their backers outspent labor and progressive groups by more than 10 to 1, with proponents pouring a staggering $204.5 million into the "yes" campaign's coffers against just $19 million for the "no" side.
"Voters were told the initiative would provide us with 'historic new benefits' and guaranteed earnings," said Gig Workers Rising. "But since it went into effect, drivers have seen our pay go down, learned the benefits are a sham, and have to accept unsafe rides because of the constant threat of being 'deactivated,' kicked off the app with little explanation or warning."
"If Uber really cared about good benefits and fair wages, it could make that happen tomorrow," the campaign added. "Instead, it has shown it would rather slash pay, bamboozle voters, and put drivers' lives and livelihoods in danger—all while promising $7 billion in stock buybacks to banks and billionaires."
Veena Dubal, a law professor at the University of California, Irvine who focuses on labor and inequality, toldCalMatters that Thursday's ruling was "a really tragic outcome," but "it's not the end of the road."
Dubal's sentiment was echoed by some California state legislators, who said the ruling presents an opportunity to act.
"While this decision is frustrating, it must also be motivating," said state Senate Labor Committee Chair Lola Smallwood-Cuevas (D-28). "I'm more determined than ever to ensure that all workers—including our diverse and Black, Indigenous, and people of color-led gig workforce—have the basic protections of workers compensation, paid sick leave, family leave, disability insurance, and the right to form a union."
Prop 22 has served as a template for lawmakers in other states seeking to deny or limit basic worker rights, benefits, and protections.
In Massachusetts, app-based companies have been fighting for years to get a measure to classify drivers as contractors on the state ballot. In 2022, Lyft made the largest political donation in state history—$14.4 million—to a coalition funding one such proposal.
Last month, Uber and Lyft reached an agreement with the office of Massachusetts Attorney General Andrea Campbell, a Democrat, to pay $175 million to settle a lawsuit filed in 2020. As part of the deal, the companies also agreed to increase driver pay and provide paid sick leave, accident insurance, and some health benefits. The agreement does not address how app-based gig workers should be classified.
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Four youth-led groups on Thursday urged Vice President Kamala Harris, the presumptive Democratic presidential nominee, to "fight for our future" by pursuing a policy agenda the coalition unveiled in a March letter to U.S. President Joe Biden.
It's been less than a week since Biden left the race and endorsed Harris, who is expected to face former Republican Donald Trump and his running mate, U.S. Sen. JD Vance (R-Ohio), in the November election. Since then, she's racked up endorsements from Democratic members of Congress and progressive groups focused on issues including climate, labor, and reproductive rights.
March for Our Lives, which was launched after the 2018 mass shooting at Marjory Stoneman Douglas High School in Parkland, Florida, honored Harris with the group's first-ever endorsement on Wednesday, calling her "the right person to stand up for us and fight for the country we deserve."
"To defeat Trump, you must rebuild support and enthusiasm among young voters."
The gun violence prevention organization is part of the youth-led coalition behind the new letter, which also includes the climate-focused Sunrise Movement; Gen-Z for Change, which advocates on a range of issues; and the national immigrant network United We Dream Action.
"You have an urgent and important task. To defeat Trump, you must rebuild support and enthusiasm among young voters," the coalition told Harris on Thursday, noting that she sought the Democratic nomination during the last cycle. "You should build on your 2020 campaign platform where you put forward a strong vision to make the economy work for everyday people and ensure a livable future for us all."
The groups urged Harris to support the Green New Deal, Medicare for All, and the Reverse Mass Incarceration Act. They pushed her to expand pathways to citizenship, keep families together, end fossil fuel subsidies, and create good, union jobs. They also called on her to prioritize gun violence prevention and investments in public health solutions and green, affordable housing.
"Democrats are at a critical crossroads with young people," the coalition wrote to Harris on Thursday. "Polls showed Biden and Trump neck-and-neck among young voters."
ANew York Times/Siena College poll conducted July 22-24 shows Trump leading Harris 48% to 47% among likely voters and 48% to 46% among registered voters—differences that fall within the margin of error.
Forbesnoted Thursday that "Democrats are far more enthusiastic about Harris than they were Biden, the Times/Siena survey found, with nearly 80% of voters who lean Democrat saying they would like Harris to be the nominee, compared to 48% of Democrats who said the same about Biden three weeks ago."
The outlet also pointed to two other polls conducted by Morning Consult and Reuters/Ipsos since Biden dropped out, which both show Harris with a narrow lead over Trump.
"You have an opportunity to win the youth vote by turning the page and differentiating yourself from Biden policies that are deeply unpopular with us, such as approving new oil and gas projects, denying people their right to seek refuge and asylum, and funding the Israeli government's killing of civilians in Gaza," the youth coalition highlighted Thursday. "You must speak to the economic pain young people are facing from crushing student debt and skyrocketing housing and food prices."
Looking beyond November, the groups told Harris—who could be the first Black woman and person of Asian descent elected to the country's highest office—that "you could be a historic president. Not just because of who you are, but what you can accomplish."
"Young people are energized and ready to organize against fascism and for the future we deserve," they concluded. "This is your chance to energize young people and our communities to vote, mount one of the greatest political comebacks in decades, and deliver a resounding defeat to the far-right agenda of Trump and Vance."
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After nearly two years of negotiations with video game giants and no deal that would protect performers from artificial intelligence, unionized voice and motion capture actors who work in video game development announced Thursday that they will go on strike starting at 12:01 am on Friday, July 26.
The performers are represented by Screen Actors Guild-American Federation of Television and Radio Artists (SAG-AFTRA), which last year won a contract for TV and film actors that included "unprecedented provisions for consent and compensation that will protect members from the threat of AI," after the union went on strike for four months.
The union has been negotiating on behalf of video game actors with major production companies including Disney Character Voices Inc., Activision Productions Inc., and WB Games Inc., and has won concessions over wages and job safety—but "AI protections remain the sticking point," said SAG-AFTRA on Thursday as the impending strike was announced.
Unionized actors want protections that would stop video game companies from training AI to replicate actors' voices or likeness without their consent and without compensating them.
"The video game industry generates billions of dollars in profit annually," said Duncan Crabtree-Ireland, national executive director and chief negotiator for SAG-AFTRA. "The driving force behind that success is the creative people who design and create those games. That includes the SAG-AFTRA members who bring memorable and beloved game characters to life, and they deserve and demand the same fundamental protections as performers in film, television, streaming, and music: fair compensation and the right of informed consent for the AI use of their faces, voices, and bodies."
"Frankly, it's stunning that these video game studios haven't learned anything from the lessons of last year—that our members can and will stand up and demand fair and equitable treatment with respect to AI, and the public supports us in that," he added.
Sarah Elmaleh, negotiating committee chair for the union's interactive media agreement, said the negotiations have shown the companies "are not interested in fair, reasonable AI protections, but rather flagrant exploitation."
"We look forward to collaborating with teams on our interim and independent contracts, which provide AI transparency, consent, and compensation to all performers, and to continuing to negotiate in good faith with this bargaining group when they are ready to join us in the world we all deserve," said Elmaleh.
The unionized actors voted in favor of the strike authorization with a 98.32% yes vote, said SAG-AFTRA.
The strike was announced as more than 500 workers who help develop the popular World of Warcraft video game franchise voted to join the Communications Workers of America (CWA), with the games publisher, Blizzard Entertainment, recognizing the bargaining unit.
CWA noted that the workers' journey to union representation began with a walkout in 2021 at Activision Blizzard, which was later bought by Microsoft, over sexual harassment and discrimination.
"What we've accomplished at World of Warcraft is just the beginning," Eric Lanham, a World of Warcraft test analyst, said in a statement. "We know that when workers have a protected voice, it's a win-win for employee standards, the studio, and World of Warcraft fans looking for the best gaming experience."
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