https://www.cnn.com/2019/09/16/business/uaw-gm-strike-general-motors/index.html
2019-09-16 08:01:00Z
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CNN's Scott McLean contributed to this report.
Forty-six thousand General Motors workers walked out at midnight Sunday evening. The shutdown of 35 manufacturing facilities in Michigan, Ohio, Indiana, Kentucky, Missouri, Tennessee and New York will cost GM as much as $400 million in lost production each day.
Despite its frantic efforts to avoid a strike, the leaders of the United Auto Workers (UAW)—who have been exposed as criminally corrupt agents of the auto companies—concluded that they were not in a position to prevent a mass walkout.
The announcement of the strike was delivered at a press conference by UAW Vice President Terry Dittes. Demoralized and frightened, Dittes spoke as if he were attending a funeral.
Just the day before, the UAW had instructed its members to cross the picket lines of janitorial workers belonging to the same union. The UAW has refused to call out workers employed at Ford and Fiat-Chrysler, seeking as best they can to avoid mobilizing the full strength of autoworkers.
The shutdown of General Motors is a major escalation of the class struggle in the United States and internationally. The powerful social movement that began last year with teachers is expanding into the industrial working class. The decades-long suppression of the class struggle—ruthlessly enforced by an alliance of trade unions, corporations and the government—is breaking down.
As workers begin this fight, they must survey the battlefield and develop a strategy based on an understanding of who are their allies and who are their enemies.
Workers are confronting General Motors, the symbol of the power of American capitalism, with a market capitalization of $55 billion. But GM is itself part of a globally-integrated auto industry, involving the labor of millions of workers all over the world.
Every struggle by workers has a political dimension, but in this case the politics are especially clear. The auto industry has, for forty years, been the target of efforts by Democratic and Republican administrations to expand corporate profits at the expense of the working class.
Forty years ago, in 1979, the Democratic administration of Jimmy Carter and a Democratic Party-controlled Congress insisted that the so-called bailout of Chrysler required massive concessions by workers and the closure of factories. This was followed soon after by the Republican Reagan administration’s firing of PATCO air traffic controllers, which launched a wholesale assault on the entire working class.
In 2008, the Obama administration insisted on halving the wages of new hires as part of its restructuring of the auto industry. The mass layoffs, plant closures and pay cuts imposed under Obama led to record profits for the automakers.
In the four decades of social counter-revolution, GM, Ford and Chrysler have slashed 600,000 auto jobs, with only 158,000 jobs left. The pay of a newly hired auto worker has fallen by half.
The expansion of corporate profits through the impoverishment of workers is the basic law of the capitalist system. Profit does not fall like manna from heaven: it is extracted at the point of production from the working class. The value created by workers through the labor process is distributed to the capitalists who exploit them.
The unjust and exploitative character of this system is demonstrated by the salaries of the auto executives and the billions of dollars disbursed to investors in the form of profit.
GM CEO Mary Barra, with her annual salary of $21.87 million, makes in a day twice what a new autoworker earns in a year. GM posted a profit of $11.8 billion last year. It has spent more than $10 billion on stock buybacks since 2015.
The claim that GM does not have the money to meet workers’ demands for a restoration of their pay and benefits should be dismissed with contempt.
Even as workers are fighting the corporations, the government and the capitalist system as a whole, their most determined enemy is the organization that claims to represent them—the bribed and corrupted United Auto Workers.
The UAW’s endless betrayals of workers’ interests has culminated in the cesspool of corruption that has engulfed the entire leadership, bribed to the tune of millions of dollars from management.
Everything workers are now fighting against, from plant closures to starvation wages and the multi-tier wage and benefit system, is the product of the concessions enforced by the UAW. To believe that this will now change is to indulge in the most dangerous illusions.
While the UAW officials were shown to have spent millions of dollars in workers’ money on golf games, cigars, whiskey and prostitutes, the UAW has announced that workers will get a miserable $250 per week in strike pay—and this only after the first full week of a strike.
GM workers face many enemies, but they also have powerful allies.
Autoworkers enjoy overwhelming support and sympathy from the working population in America. The exploitative conditions that autoworkers are fighting against are those felt by millions of workers throughout the country, who have had their pay cut and benefits destroyed, and who are treated worse than the machines they operate.
Workers at GM must call on their brothers and sisters at Ford and Fiat Chrysler to join their strike, in order to shut down the entire US auto industry and bring maximum economic and political pressure to bear on the auto bosses.
Just as importantly, workers must appeal for support from workers and youth throughout the country and around the world—support that they will readily receive.
The GM walkout is the latest stage in a global strike wave. The strike by US autoworkers is unfolding in the context of an international movement of the working class. Just last week, 8,000 GM workers went on strike in Korea, and French transit workers shut down the subways of Paris. Over the past year, auto workers in India and Mexico have waged powerful strikes. In France, Puerto Rico and Hong Kong, workers and youth have been involved in mass demonstrations in defense of their social and democratic rights.
The struggle can only succeed if it is taken out of the control of the UAW traitors. Workers must elect rank-and-file committees to organize and expand the strike.
These committees must demand:
● A 40 percent increase in pay to begin recovering decades of wages lost due to illegitimate concessions by the corrupt UAW and the corporations that bribed them.
● End the tier system! Equality in the workplace! All workers, including part-time and contract workers, must immediately be brought up to top pay and benefits.
● Restore jobs! Reopen Lordstown and other closed plants and rehire all laid-off and victimized workers. Stop all plant closings and layoffs!
● Honor the retirees! Reverse all cuts in retiree health care and pensions.
● Democracy in the factory! For workers’ control over production, line speed and safety.
● $750 per week in strike pay! The UAW, together with the AFL-CIO, controls billions of dollars in assets, which they use to fund junkets and pay six-figure salaries to thousands of executives. These resources, plundered from dues and retirement plans, must now be disbursed!
In this struggle, the Socialist Equality Party, which produces the Autoworker Newsletter and helps publish the World Socialist Web Site, pledges its full support to the workers.
The Socialist Equality Party will do everything it can to build a new militant socialist leadership in the working class. It will provide workers with the information they need to assist in the organization of their struggle, to rally support throughout the country and internationally.
We call on workers to attend our upcoming online forum, which last week drew together more than 300 workers, to discuss the strategic issues that autoworkers face as they conduct this great and critical struggle.
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Iran launched nearly 12 cruise missiles and more than 20 drones from its territory in an attack on Saudi oil facilities - a senior US government official told the US network ABC, Israeli news agency Walla! reported on Monday.
The Houthi rebels in neighboring Yemen took responsibility for the attack, which damaged oil company Aramco's facilities and resulted in a significant drop in Saudi global oil supplies, but the senior official claimed it was a lie: "It was Iran. The Houthis took credit for something they did not do."
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NEW YORK (Reuters) - Adam Neumann showed he can capitalize on troubled times a decade ago, tapping into demand for workspace by those forced out of jobs in the aftermath of the financial crisis to grow WeWork into a global brand commanding a $47 billion valuation.
FILE PHOTO: Adam Neumann, CEO of WeWork, speaks to guests during the TechCrunch Disrupt event in Manhattan, in New York City, NY, U.S. May 15, 2017. REUTERS/Eduardo Munoz -/File Photo
Yet his plans to take WeWork’s corporate parent the We Company public have backfired, as his company becomes the poster child for a bubble in venture capital fundraising that has pushed some start-ups to unsustainable valuations.
The We Company is contemplating slashing its valuation to as low as $10 billion from the $47 billion billing clinched in a private fundraising round in January backed by Japan’s SoftBank Group Corp, people familiar with the matter said on Friday.
The sharp drop comes amid investor criticism of widening losses and Neumann’s firm grip on the company.
Neumann, 40, is under pressure to proceed with the initial public offering (IPO) to raise cash to keep WeWork’s operations going. The New York-based company rents workspace to clients under short-term contracts, even though it pays rent for them itself under long-term leases.
It is by far the biggest crisis Neumann has faced in his career, after arriving in New York at the age of 22 following service in the Israeli military.
He failed in several ventures before selling his first co-working firm, Green Door, for $300,000 with business partner Miguel McKelvey a decade ago. Neumann and McKelvey used the proceeds from that sale to start WeWork, with its first customers coming to the lower Manhattan site just off Chinatown in February 2010, after seeing ads in Craigslist.
Community was a driving force behind the new venture, launched at a time when millions who had lost jobs during the 2008 financial crisis were looking for flexible work space.
“It quickly became apparent that people were ready for a new approach to work, not just their workspace,” Neumann said in a blog post in 2016, marking the launch in Berlin of WeWork’s 100th site.
Neumann’s parents divorced when he was a boy and he moved 13 times as a child and adolescent, living awhile in Indianapolis where his mother, an oncologist, finished her medical residency. He has called his childhood challenging because of the moves.
They returned to Israel where he lived in kibbutz Nir Am, near the Gaza Strip, and later served in the Israeli military, which he says taught him to be something greater than himself.
Neumann’s experience on a kibbutz and McKelvey’s growing up in a five-mother commune in Oregon have been cited as a reason the pair hit it off. McKelvey is an architect with the title of chief culture officer at WeWork.
Neumann, now a billionaire as the majority owner of We Company, also has said he thought money was the goal in life until he met his wife Rebekah, a cousin of actress Gwyneth Paltrow.
Formerly called chief brand director, Rebekah Neumann is referred to as a co-founder of WeWork. She is also a filmmaker and introduced Neumann to Kabbalah, a form of Jewish mysticism that has attracted celebrity followers. They have five children.
The early success of the shared workspace validated the global community Neumann envisioned where people can achieve more together than alone, or in the words of the company’s famous mantra: “to make a life, not just a living.”
Neumann arrived in New York in 2001 where he lived with his sister Adi, an Israeli model, and started a handful of businesses that failed, including women’s shoes and a line of baby clothes with knee pads called Krawlers.
“When I came to New York I was angry about my history,” Neumann told a luncheon at the New York Stock Exchange in June 2017, adding he learned that you don’t deserve anything. “I became happy. My past helped make who I am today,” he said.
Neumann, described as key to setting WeWork’s strategic direction and execution priorities in the IPO filing, can come off as a bit zany. In the 2016 blog post he said the future of cities would require a healthy mix of 70% magic and 30% logic.
The We Company also said in the filing that its mission is to elevate the world’s consciousness and that as a community company it is committed to maximum global impact, a vision Neumann endorses.
Reporting by Herbert Lash in New York; Editing by Daniel Wallis
Lucas McClain started smoking cigarettes in high school but switched to vaping after he heard e-cigarettes were a safer alternative.
His vape of choice became the Juul, the king of electronic cigarettes — which comes with a king-size nicotine hit.
Now 21, McClain wants to quit so badly that he’s turning back to the problem he fled in the first place: good old-fashioned cigarettes.
“Juul made my nicotine addiction a lot worse,” the Arlington, Va., resident said. “When I didn’t have it for more than two hours, I’d get very anxious.”
Even though McClain knows the dangers of cigarettes — lung cancer runs in his family — he thinks it might be easier to kick cigarettes than his Juul. Plus, his mom keeps warning him about the mysterious vaping-related illnesses that have sickened hundreds across the country.
So last month, McClain bought his first pack of cigarettes in years. Then he tweeted about it.
“Bought a juul to quit smoking cigarettes,” he wrote, “now I’m smoking cigarettes to quit the juul.” He ended with this hashtag: #circleoflife.
Bought a juul to quit smoking cigarettes... now I’m smoking cigaretttes to quit the juul #circleoflife
— El Mac (@elmacadelic) August 21, 2019
One Juul pod, which provides about 200 puffs, contains as much nicotine as a pack of cigarettes. On stressful days, McClain could finish a pod in three hours — and as he and others figure out just how potent these and other e-cigarettes are, many want out.
Some are turning back to combustible cigarettes — or taking them up for the first time — in a dangerous bid to lower their nicotine intake and ultimately get off their vapes.
“Isn’t it ironic that to quit juul I bought cigarettes,” says one Twitter user. Another points out that it’s “strange” that she used the device to quit smoking cigarettes but is now “far more addicted to my Juul than I ever was to cigs.”
“It sucks,” she said.
It isn’t a complete surprise that some young people are “going back to the product they were trying to quit in the first place,” said Pamela Ling, a professor of medicine at the University of California-San Francisco who studies tobacco and its marketing.
But it is worrisome because cigarettes contain toxins and chemicals that are dangerous to their health, she said.
Vaping may not be safe either.
The Centers for Disease Control and Prevention is investigating at least 380 cases of lung disease in 36 states — mostly among young people — possibly linked to vaping nicotine and marijuana. Six people have died. California is investigating at least 60 cases.
The back-to-smoke trend flies in the face of the e-cig industry’s most insistent PR pitch: Vaping helps people quit smoking cigarettes. In fact, San Francisco-based Juul Labs, which commands 75 percent of the e-cig market, says in its mission statement that the company aims to eliminate cigarettes by giving adult smokers “the tools to reduce or eliminate their consumption entirely.”
In an emailed statement, Juul didn’t directly address the decision by some of its users to revert to cigarettes, but again clung to the refrain that its products are “designed to help adult smokers switch from combustible cigarettes to an alternative nicotine delivery system.”
Ted Kwong, a Juul spokesman, said Juul is not designed to get people off nicotine or to treat nicotine dependence.
For those who criticize Juul’s high nicotine content, Kwong noted that pods come in two strengths — 5 percent and 3 percent nicotine concentrations — letting users customize their “switching journey.”
Monday, the Food and Drug Administration reprimanded Juul for promoting its products as being safer than cigarettes without FDA permission. It gave Juul 15 business days to respond.
Vaping has become big business, with the global market projected to hit $48 billion by 2023.
Smoke or vapor, cigarette makers win either way. Altria, which sells Marlboro and other tobacco brands in the U.S., invested nearly $13 billion in Juul for a 35 percent stake last year. Altria has proposed reuniting with Philip Morris International, a unit it sold off in 2008.
Even though the industry says vaping is intended for adults, Juul and other vaping pens took off among young people about two years ago when teens began taking the devices to school and teachers mistook them for flash drives. Students took hits in campus bathrooms and halls, and even in class when teachers weren’t looking.
The e-liquids inhaled from the devices contain nicotine and come in thousands of fruity flavors that appeal to kids.
Michigan last week became the first state to ban sales of flavored e-cigarettes in an attempt to end teen vaping. In June, the San Francisco Board of Supervisors banned the sale of all e-cigarettes, beginning in early 2020. Juul is fighting back with a November ballot measure, Proposition C, backed by millions of its own dollars.
Many former smokers attest that vaping was the only thing that helped them quit cigarettes, but the science is mixed. Some studies have shown that many vapers continue to smoke cigarettes.
The FDA has approved seven treatments for smoking cessation, including patches, gums and lozenges. Vapes are not among them, said Dr. Elisa Tong, an associate professor of medicine at the University of California-Davis.
Tong said vapers may be using more nicotine than they realize. She understands why some choose to go back to cigarettes, but she doesn’t recommend it.
“What they’re doing is trying to taper down super high levels of nicotine,” she said. “Unfortunately, manufacturers don’t have a manual on how to quit their devices.”
Dr. Amanda Graham, senior vice president of innovations at the Truth Initiative, an anti-tobacco advocacy group, said she is seeing “desperation and misguided approaches” from teens and young adults trying to free themselves from nicotine.
“Young people are fumbling in the dark with what seems logical,” Graham said. “But there is no safe level of cigarette smoking.”
Early this year, Graham’s group launched a digital program to help teens and young adults quit their vaping devices. Since then, 41,000 people between 13 and 24 have enrolled in “This is Quitting,” which sends them tips and support via text messages.
Chris Gatus of Whittier, Calif., switched from traditional cigarettes to Juul because he thought the device would help him quit smoking, he said.
But because his Juul is always glued to his palm, he found himself using it everywhere and all the time.
“I’ve sort of forgotten what it’s like not to be on nicotine,” said Gatus, 21.
He switched back to cigarettes this year after noticing his growing addiction, but that only resulted in his using both. Now he’s trying different vaping pens, looking for something less harsh than the Juul or cigarettes, he said.
Last week, Ryan Hasson of New York City threw out his Juul after experiencing strong chest pains and labored breathing when exercising — and after hearing about the growing number of vape-related illnesses. He had never felt such strong symptoms when he smoked old-fashioned cigarettes, he said.
“I don’t plan on ever smoking again, but if I had to choose, I would much rather buy cigarettes over a Juul,” said Hasson, 25.
The same is true of his friends, he said.
“I think a lot of people are quitting completely or going back to cigarettes,” he said. “They’re waking up to the reality that maybe this isn’t as safe as we once thought.”
This KHN story first published on California Healthline, a service of the California Health Care Foundation.
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DETROIT - More than 850 Aramark workers in Michigan and Ohio walked off the job Saturday at midnight over better wages, health care and retirement.
Related: Contract countdown -- Will UAW strike when GM deal expires?
“We have UAW members who work long, hard hours and are still on public assistance,” said Gerald Kariem, Director of UAW Region 1D. “It’s shameful.”
According to the UAW, Aramark maintenance workers in Hamtramck, Warren, Flint, Grand Blanc and Parma, Ohio have been working on an extended contract since March of 2018.
“Every day, UAW members go to work and keep these plants profitable,” said UAW Region 1 Director Frank Stuglin. “It’s astounding that Aramark has not agreed to bargain in good faith over their contributions.”
Key issues involve wages, caps on health insurance, vacation time, job security and retirement plans.
“Every day these UAW members play a crucial role in keeping these plants operating," said UAW Region 2B Director Rich Rankin. "Aramark needs to provide these workers with fair wages and benefits.”
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