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Right to Work in 2017

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There’s lots to be optimistic about in 2017 with Right to Work laws near the top of the list. This from the WSJ:

The New Year will bring change in the states as well as Washington, D.C., and that includes the likely expansion of right-to-work laws to help the economic competitiveness of Missouri, Kentucky and even New Hampshire.

Twenty-six states currently give workers the right not to join a union or pay fees as a condition of their employment. While the laws aren’t the only drivers of economic health, many businesses won’t consider operating or expanding in states that don’t have them.

In Missouri, Democratic Governor Jay Nixon barely defeated GOP legislative attempts to pass right to work in 2015, and in November voters elected Republican Eric Greitens, who campaigned on right to work. According to the Bureau of Economic Analysis, Missouri was 48th in economic growth in real GDP between 1997 and 2015. Mr. Greitens’s campaign reminded voters that in 2015 the average per capita income in right-to-work states was higher than it was in Missouri.

Mr. Greitens, a former Democrat, is expected to sign the right-to-work law vetoed by Mr. Nixon. Unions have already begun collecting signatures to put a repeal measure on the ballot for the 2018 election.

Kentucky is the only southern or border state that isn’t right to work, but that should change now that Republicans have won control of the legislature for the first time since 1920. Unable to pass the measure statewide due to Democratic opposition, Kentucky let counties pass right-to-work laws. The local law survived a union challenge at the Sixth Circuit Court of Appeals, and a similar plan is working its way through legal challenges in union-strangled Illinois.

New Hampshire is also likely to move on right to work next year as GOP Governor-elect Chris Sununu will join a Republican-dominated legislature. Mr. Sununu told the New Hampshire Union leader that he was open to right to work and was “fairly” confident that lawmakers would pass it.

Right to work is an example of how the interests of workers and unions divide. Unions want to coerce workers into joining unions and paying dues even if this means there will be fewer jobs available. Workers want to be free to join a union, or not, and the best guarantee of higher pay is a buoyant job market that comes from more business investment and labor flexibility. Unions wouldn’t need to worry so much about right to work if they did more to provide value for workers.

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E.J. Smith - Your Survival Guy

Preparing your investments and family for when disaster strikes.
E.J. Smith is the Founder of YourSurvivalGuy.com, Managing Director at Richard C. Young & Co., Ltd., a Managing Editor of Richardcyoung.com, and Editor-in-Chief of Youngresearch.com. E.J. graduated from Babson College in Wellesley, Massachusetts, with a B.S. in finance and investments. In 1995, E.J. began his investment career at Fidelity Investments in Boston before joining Richard C. Young & Co., Ltd. in 1998. E.J. has trained at Sig Sauer Academy in Epping, NH, where he completed course-work in Practical and Defensive Handgun, Conceal Carry Pistol, Shotguns, Precision Scope Rifle and Kidnapping Prevention. E.J. plays a Yamaha Recording Custom drum set with Zilldjian cymbals. His first drum set was a 5-piece Slingerland with Zilldjians. He grew-up worshiping Neil Peart of the band Rush, and loves the song Tom Sawyer—the name of his family’s boat, a Grady-White Canyon 306. He grew up in Mattapoisett, MA, an idyllic small town on the water near Cape Cod. He spends time in Newport, RI and Bartlett, NH—both as far away from Wall Street as one could mentally get. The Newport office is on a quiet, tree lined street not far from the harbor and the log cabin in Bartlett, NH, the “Live Free or Die” state, sits on the edge of the White Mountain National Forest. He enjoys spending time in Key West and Paris. Please get in touch with E.J. at ejsmith@youngresearch.com. Sign up here to receive all the best content from Richardcyoung.com each week.

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