RAISE Act Seeks to End Union Stranglehold on Wages


Posted by Tom Fletcher on Friday, August 3rd, 2012, 3:04 PM PERMALINK


After suffering embarrassing defeats in New Jersey and Wisconsin, organized labor seems destined for yet another setback. The RAISE Act, introduced by Senator Marco Rubio (R-FL), is legislation that seeks to eliminate union meddling when a business wants to increase their employees’ wages. Writing in the National Review, Rubio called the status quo “unfair to workers and out of touch with the modern workplace.”  Enacting the RAISE ACT would pay immediate dividends for employees and businesses alike.  A Heritage Foundation report found:

“By offering workers the opportu¬nity to earn higher wages, the RAISE Act provides an incentive for increased productivity. Should Congress pass the RAISE Act, the average union member’s salary could rise between $2,700 and $4,500 a year. The RAISE Act would restore union members’ freedom to earn individual merit-based raises—a freedom that federal labor law currently denies. With many American families struggling financially in the aftermath of the recession, Congress should lift the seniority ceiling on workers’ wages.”

Dr. Tim Kane, Chief Economist of the Hudson Institute, said before a House subcommittee on Health, Employment, Labor, and Pensions that, “the legislation has no potential to hurt jobs or wages.” Furthermore, he estimates that “the RAISE Act will generate an average raise of 10 percent to union workers in response to new productivity gains based on new incentives.” This legislation offers a remarkable opportunity for American workers to become more empowered and earn more money. Senate Democrats, however, seem determined in blocking this common-sense proposal that would only benefit American workers.
 

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