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    Elon Musk attends Netanyahu’s congressional address as his guest

    Elon Musk attended Benjamin Netanyahu’s address to Congress on Wednesday as a guest of the embattled Israeli prime minister.A day earlier, the tech billionaire announced that his Starlink internet service was now active in a Gaza hospital, with the support of Israel’s government.Netanyahu’s congressional visit was met with thousands of protesters gathering near Capitol Hill to demonstrate against Israeli abuses during its war in Gaza. Lawmakers were divided over whether he should have been invited to speak.Musk has a history of courting rightwing leaders in countries that have overlapping business interests with his various enterprises. He previously hosted Javier Millei, Argentina’s president, at his Tesla factory and has been a cheerleader for his policies, while also cozying up to Narendra Modi, India’s prime minister, and Jair Bolsonaro, the former Brazilian president.Musk previously met with Netanyahu during a visit to Israel last year, as the tech leader sought to quell accusations of antisemitism after personally endorsing a post on his social network X, formerly Twitter, that claimed Jews hate white people. Far-right content on the platform has also increased.Musk’s visit also appears to have helped pave the way for SpaceX to provide its Starlink satellite internet to Gaza, which he announced on Tuesday was now in service at a hospital. The single location, which was supported by Israel and the United Arab Emirates, also reflects the tight controls that Israel has put on communications technology in the area.In recent weeks, Musk has also thrown his support behind Donald Trump’s election campaign and played a direct role in advising the former president to select JD Vance, Ohio senator, as his running mate.skip past newsletter promotionafter newsletter promotionAlthough Musk has continued to post conservative content and attacks against the presumptive Democratic nominee Kamala Harris, he appears to have tempered some of his support for Trump following Joe Biden dropping out of the race. Musk pushed back against a report he was set to donate $45m per month to a pro-Trump political action committee.Musk’s appearance as a guest of Netanyahu further aligns him with the Republican party line, which has thrown its support behind the Israeli leader as many Democrats condemn his actions. A number of progressive Democratic lawmakers declined to attend Netanyahu’s speech, with New York representative Alexandria Ocasio-Cortez denouncing him as a “war criminal”. More

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    Elon Musk is spending millions to elect Trump. Let’s boycott his companies | Robert Reich

    For many years I’ve argued that the consolidation of great wealth in the hands of a few undermines our democracy.Elon Musk is the poster child for that concern.Wealth is most dangerous when transformed into political power.One way Musk is transforming his gargantuan wealth into political power is by committing $45m a month, according to recent reporting, to a new pro-Trump super PAC founded and funded in May by other tech oligarchs. On Tuesday, Musk distanced himself from that claim, saying that the actual amount is lower.Either way, we may never know how much Musk is plunking down for Trump because of Musk’s avowed distaste for groups whose donors must be legally disclosed. Musk prefers to wield his political power through dark money.A second way Musk is transforming his wealth into political power is by posting pro-Trump, anti-Kamala Harris messages to his 189 million followers on X, formerly known as Twitter.The reason Musk has 189 million followers is that he owns X. He can adjust its algorithm to give his tweets maximum exposure and effectively buy and capture huge numbers of X users.Immediately after Biden withdrew from the race, Musk interacted with and reposted a number of X posts mocking and criticizing Harris while expressing support for Trump.Musk retweeted former Republican candidate Vivek Ramaswamy, who said: “We’re not running against a candidate. We’re running against a system.”Musk also tweeted out a video of Harris in which she said the pronouns she uses and described her appearance for the accessibility of blind people. Musk captioned the post: “Imagine 4 years of this … ”Musk also retweeted and expressed approval of comments made by a QAnon-linked influencer, who had tweeted Biden’s resignation letter with the remark “Democrats destroy democracy in pursuit of power.” The Anti-Defamation League has highlighted this influencer as one of the “extremists and conspiracy theorists” that X has allowed back on to the platform.A number of X users have complained on the platform that they have been unable to follow the @KamalaHQ account, the official rapid response page of the vice-president’s presidential campaign. Instead, the users found a message that said they had reached their “limit” and could not follow any more accounts at this time.Trump is obviously delighted with Musk. The former president is reportedly thinking about offering the billionaire an advisory role in his administration, if there’s a second Trump presidency.skip past newsletter promotionafter newsletter promotionIn all these ways, Musk and Trump seem on the way to merging into a single vortex of wealth and power. The result undermines American democracy and the rule of law.Maybe we should call it the Mump – the joining together of two rich and famous narcissists who crave attention, lie through their teeth, enjoy provoking critics, hate labor unions, refuse to be held accountable for anything and have utter contempt for democracy.Toward the end of America’s first Gilded Age, Louis Brandeis, the eminent American jurist, said: “We must make our choice. We may have democracy, or we may have wealth concentrated in the hands of a few, but we can’t have both.”Musk demonstrates the truth of Brandeis’s insight now, in America’s second Gilded Age.High on the list of legislative objectives for Harris and the Democrats, if they regain power, should be a wealth tax that makes it impossible for future Mumps to use their great wealth to undermine democracy.If a wealth tax is not politically feasible, an alternative would be to end the “stepped-up basis” inherent tax rule that allows heirs to great fortunes to avoid paying a dime of capital gains taxes.What can you do about Musk in the meantime? Use your economic power. Boycott Tesla and tell advertisers to boycott X.

    Robert Reich, a former US secretary of labor, is a professor of public policy at the University of California, Berkeley, and the author of Saving Capitalism: For the Many, Not the Few and The Common Good. His newest book, The System: Who Rigged It, How We Fix It, is out now. He is a Guardian US columnist. His newsletter is at robertreich.substack.com

    This article was amended on 24 July 2024 to reflect Musk’s suggestion that the $45m figure is inaccurate More

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    Trump’s arrival and ‘our God saves’: key takeaways from day one of the RNC

    Just two days after a gunman targeted a Trump campaign rally in Pennsylvania, leaving the candidate grazed by a bullet and one of his supporters dead, the Republican national convention kicked off in Milwaukee in a strikingly normal fashion.Donald Trump, who made his first public appearance but did not yet address the convention, has now been officially nominated as the Republican presidential candidate. Here are key takeaways from the day:1. As VP, Trump picks JD Vance, Hillbilly Elegy author who once called him ‘America’s Hitler’ For his vice-president, Trump chose 39-year-old JD Vance, a bestselling author who swiftly transformed himself from a self-described “never Trumper” to a Trump loyalist.Now an Ohio senator, Vance first took public office 18 months ago, when he won a race for Senate after being backed by more than $10m in support from tech mogul Peter Thiel. Vance had previously worked as a venture capitalist, and lived for several years in the Bay Area before moving back to Ohio.Vance, who gained a national profile for a much-praised 2016 memoir about white family dysfunction in Appalachia and how he made it to Yale Law School, once publicly called Trump “reprehensible” and an “idiot”, and said he was a dangerous figure who was “leading the white working class to a very dark place”. But Vance worked hard to walk back these criticisms and gain Trump’s endorsement in his 2022 Senate race.Vance has endorsed a ban on abortion, continued to falsely claim that Trump won the 2020 election, said that the US should conduct “large-scale deportations”, and claimed the Democratic party is trying to “transform the electorate” amid an immigrant “invasion”, which Democrats have said is an endorsement of the white nationalist “Great Replacement” conspiracy theory. Vance was praised today by Donald Trump Jr for being a powerful surrogate for Trump on television.2. Trump makes his first public appearance since surviving a shooting attack in Pennsylvania Donald Trump looked unusually somber as he emerged from backstage and joined his sons, and his new vice-presidential pick, JD Vance, in a VIP section of the convention hall audience.There was a stiff white bandage covering his ear, which had been grazed by a bullet on Saturday when the former president narrowly avoided an assasination attempt at a Pennsylvania campaign rally that left one of his supporters dead.Trump waved to his supporters and occasionally held his fist in the air as he walked through the crowd. But he looked more moved than defiant in his first public appearance, mouthing “thank you”, to his supporters, and once gesturing to his ear and to the camera filming him backstage as if to suggest that he could still hear them despite the bandage.After Trump shook hands with other supporters, he joined Tucker Carlson, his sons, and Vance, to listen to the speakers, he appeared to relax somewhat, and began to smile more in response to the crowd.3. Post-shooting speeches focus on Trump’s relationship with God, not blaming Biden Amid multiple media reports that Trump wanted to strike a note of unity after what he saw as his own miraculous escape from death, Axios reported that “Trump ordered aides not to allow the convention’s prime-time speakers to update their remarks to dial up outrage over the shooting.”Many of the speeches on Monday appeared to reflect a more restrained approach to talking about the shooting, with Republicans focusing on Trump’s personal strength and framing the event in Christian terms.“Our God still saves, he still delivers, and he still sets free, because on Saturday, the devil came to Pennsylvania holding a rifle, but an American lion got back up on his feet, and he roared!” South Carolina senator Tim Scott said.4. Teamsters president Sean O’Brien praises Trump’s toughness in defiant pro-labor speech One of the most prominent labor union leaders in the US brought a fiercely anti-corporate message into the heart of the GOP convention, where he wove together a denunciation of corporate power with praise of Trump’s willingness to hear from alternate voices.Teamsters president Sean O’Brien faced sharp criticism for within his own union for what some called his “unconscionable” decision to speak at the RNC.In his speech, O’Brien pushed back at that response, saying: “The left called me a traitor,” but that “today, the teamsters are here to say, we are not beholden to anyone or to any party.”“The teamsters are doing something correct if the extremes of both parties think I shouldn’t be on this stage,” he added.O’Brien used the platform to argue for changes in labor laws to protect US workers and for “corporate welfare reform”.He received some cheers from the Republican audience when he said: “Elites have no party. Elites have no nation. Their loyalty is to the balance sheet and the stock prices at the expense of the American worker.”But his praise of Trump prompted an even more enthusiastic responses from the crowd, particularly his comment that, whatever else people might think of Trump, after the shooting on Saturday: “He has proven to be one tough SOB.”5. Elon Musk is reportedly discussing major donations to a pro-Trump Super PacTrump’s choice of former venture capitalist and Peter Thiel protege JD Vance as his vice-presidential nominee already strengthened the link between the 2024 Trump campaign and Silicon Valley.But a report from the Wall Street Journal today suggested that one of the biggest and most volatile tech titans is now considering pouring a record-breaking amount of cash into a Super Pac designed to boost Republican turnout.The Wall Street Journal reported that Elon Musk is discussing donating $45m a month, starting in July, to a pro-Trump Pac reportedly created by members of his tech executive inner circle. How much Musk has actually given so far is unclear, and may not be made public until the next round of campaign filings are made public on 15 July, but Bloomberg reported he had already given “a sizable amount”. More

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    Elon Musk is cosying up to Donald Trump. Haven’t we suffered enough? | Arwa Mahdawi

    What happens when two of the most influential and insufferable people in the universe join forces? Looks like we’re about to find out. Rumour has it that Elon Musk is cosying up to convicted felon, adjudicated fraudster and presidential hopeful Donald Trump, in the hopes of securing a job in the White House.Last week, the Wall Street Journal reported that the pair speak on the phone several times a month, and have discussed a possible advisory role for Musk if Trump is elected president again. It’s not clear what political pies Musk wants to stick his little fingers in: “The role hasn’t been fully hammered out,” the WSJ said. But, according to “people familiar with the talks”, Musk might get a position advising on border security and the economy.Is Musk really the right person to advise on these issues? Perhaps. As an immigrant from South Africa, he does have first-hand experience of border security. Indeed, his brother, Kimbal, publicly admitted that when the Musk bros first tried to set up business in the US they didn’t have the right work documents. “We were illegal immigrants,” Kimbal joked during a 2013 conference. Elon sheepishly protested that it was a “grey area”, while Kimbal, rather awkwardly, kept insisting it wasn’t: they didn’t have work authorisation. Meanwhile, the audience laughed uproariously. Working illegally makes for a fun little anecdote if you’re rich and white, it seems. But it’s grounds for immediate deportation and dehumanisation if you’re not. Elon himself is fond of demonising “illegal immigrants” and has said that migration has “invasion vibes”.Trump, of course, won’t have any issues with Musk’s border hypocrisy. Despite striking a hard line on immigration, he doesn’t seem to have been particularly bothered by an Associated Press investigation finding that his wife, Melania, modelled in the US before she had legal permission to work in the country. Melania also sponsored her Slovenian-born parents to become US citizens through a process that the Trump administration scornfully termed “chain migration” and aggressively tried to end. Musk and Trump seem firmly in agreement that there are rules for thee but not for me.As for Musk’s potential advice to Trump on the economy? One imagines it will somehow involve his companies getting even more government subsidies than the billions they’ve already received. Perhaps he’ll wangle a government contract to send migrants to Mars. Or – as he’s previously joked – send “space dragons with ‘lasers’” to Ukraine. Whatever he advises, you can expect it to be less policy and more publicity stunt.But I’m getting ahead of myself. Trump is not president yet and Musk has rebutted claims that he’s interested in Ivanka Trump’s old job. “There have not been any discussions of a role for me in a potential Trump presidency,” he tweeted on Thursday.Still, there is no denying that he’s been having a bit of a bromance with Trump. This is a significant shift: Trump and Musk are both afflicted with “main character syndrome” and their huge egos have rubbed each other the wrong way in the past. In 2022, for example, Trump declared Musk a “bullshit artist” for saying he hadn’t voted for a Republican before. Musk, in response, said it was time for Trump to “hang up his hat and sail into the sunset”. He added that Trump’s presidency was “too much drama. Do we really want a bull-in-a-china-shop situation every single day!?”It seems a bunch of billionaires have decided: yes we do. Musk isn’t the only mogul cosying up to Trump: depressingly, a number of wealthy donors have thrown their weight and money behind the ex-president in the past week. On Friday Musk also confirmed that X will host a livestream town hall-style event with Trump some time soon. Linda Yaccarino, who is somehow still CEO of X, chimed in with a fire emoji to tweet: “The People’s Town Hall!” More like Fracas With a Felon, surely? Arwa Mahdawi is a Guardian columnist
    Do you have an opinion on the issues raised in this article? If you would like to submit a response of up to 300 words by email to be considered for publication in our letters section, please click here. More

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    Why is a group of billionaires working to re-elect Trump? | Robert Reich

    Elon Musk and the entrepreneur and investor David Sacks reportedly held a secret dinner party of billionaires and millionaires in Hollywood last month. Its purpose: to defeat Joe Biden and re-install Donald Trump in the White House.The guest list included Peter Thiel, Rupert Murdoch, Michael Milken, Travis Kalanick, and Steven Mnuchin, Trump’s treasury secretary.Meanwhile, Musk is turning up the volume and frequency of his anti-Biden harangues on Twitter/X, the platform he owns.According to an analysis by the New York Times, Musk has posted about the president at least seven times a month, on average, this year. He has criticized Biden on issues ranging from Biden’s age to his policies on health and immigration, calling Biden “a tragic front for a far left political machine”.The Times analysis showed that over the same period of time, Musk has posted more than 20 times in favor of Trump, claiming that the criminal cases the former president now faces are the result of media and prosecutorial bias.This is no small matter. Musk has 184 million followers on X, and because he owns the platform he’s able to manipulate the algorithm to maximize the number of people who see his posts.No other leader of a social media firm has gone as far as Musk in supporting authoritarian leaders around the world. In addition to Trump, Musk has used his platform in support of India’s Narendra Modi, Argentina’s Javier Milei and Brazil’s Jair Bolsonaro.Some of this aligns with Musk’s business interests. In India, he secured lower import tariffs for Tesla vehicles. In Brazil, he opened a major new market for Starlink, SpaceX’s satellite internet service. In Argentina, he solidified access to lithium, the mineral most crucial to Tesla’s batteries.But something deeper is going on. Musk, Thiel, Murdoch and their cronies are leading a movement against democracy.Peter Thiel, the billionaire tech financier, once wrote: “I no longer believe that freedom and democracy are compatible.”If freedom is not compatible with democracy, what is it compatible with?Thiel donated $15m to the successful Republican senatorial campaign of JD Vance, who alleged that the 2020 election was stolen and that Biden’s immigration policy meant “more Democrat voters pouring into this country”. (Vance is now high on the list of Trump vice-presidential possibilities.)Thiel also donated at least $10m to the Arizona Republican primary race of Blake Masters, who also claimed Trump won the 2020 election and admires Lee Kuan Yew, the authoritarian founder of modern Singapore.Billionaire money is now gushing into the 2024 election. Just 50 families have already injected more than $600m into the 2024 election cycle, according to a new report from Americans for Tax Fairness. Most of this is going to the Trump Republican party.In 2021, Stephen A Schwarzman, the billionaire chairman and chief executive of the Blackstone Group, called the January 6 attack on the US Capitol an “insurrection” and “an affront to the democratic values we hold dear”. Now he’s backing Trump because, Schwarzman says, “our economic, immigration and foreign policies are taking the country in the wrong direction.”Trump recently solicited a group of top oil executives to raise $1bn for his campaign, reportedly promising that if elected he would immediately reverse dozens of environmental rules and green energy policies adopted by Biden. Trump said this would be a “deal” for the oil executives that would avoid taxation and regulation on their industry.Speaking from the World Economic Forum’s confab last January in Davos, Switzerland, Jamie Dimon – chair and CEO of JPMorgan Chase, the largest and most profitable bank in the United States, and one of the most influential CEOs in the world – heaped praise on Trump’s policies while president. “Take a step back, be honest,” Dimon said. Trump “grew the economy quite well. Tax reform worked”.Rubbish. Under Trump the economy lost 2.9m jobs. Even before the pandemic, job growth under Trump was slower than it’s been under Biden.Most of the benefits of Trump’s tax cut went to big corporations like JPMorgan Chase and wealthy individuals like Dimon, while the costs blew a giant hole in the budget deficit. If not for those Trump tax cuts, along with the Bush tax cuts and their extensions, the ratio of the federal debt to the national economy would now be declining.skip past newsletter promotionafter newsletter promotionBut don’t assume that the increasing flow of billionaire money to Trump and his Republican party is motivated solely by tax cuts and regulatory rollbacks. The goal of these US oligarchs is to roll back democracy.When asked if he was becoming more political, Musk admitted (in a podcast in November): “If you consider fighting the woke mind virus, which I consider to be a civilizational threat, to be political, then yes … Woke mind virus is communism rebranded.”Communism rebranded? Hello?A former generation of wealthy US conservatives backed candidates like Barry Goldwater because they wanted to conserve American institutions. Musk, Thiel, Schwarzman, Murdoch and their fellow billionaires in the anti-democracy movement don’t want to conserve much of anything – at least not anything that occurred after the 1920s, including Social Security, civil rights, and even women’s right to vote.As Thiel wrote: “The 1920s were the last decade in American history during which one could be genuinely optimistic about politics. Since 1920, the vast increase in welfare beneficiaries and the extension of the franchise to women – two constituencies that are notoriously tough for libertarians – have rendered the notion of ‘capitalist democracy’ into an oxymoron.”If “capitalist democracy” is becoming an oxymoron, it’s not because of public assistance or because women got the right to vote. It’s because billionaire capitalists like Musk and Thiel are intent on killing democracy by supporting Trump and the neo-fascists surrounding him.Not incidentally, the 1920s marked the last gasp of the Gilded Age, when America’s robber barons ripped off so much of the nation’s wealth that the rest of the US had to go deep into debt both to maintain their standard of living and to maintain overall demand for the goods and services the nation produced.When that debt bubble burst in 1929, we got the Great Depression. Benito Mussolini and Adolf Hitler then emerged to create the worst threats to freedom and democracy the modern world had ever witnessed.If America learned anything from the first Gilded Age and the fascism that grew like a cancer in the 1930s, it should have been that gross inequalities of income and wealth fuel gross inequalities of political power – as Musk, Thiel, Schwarzman, Murdoch and other billionaires are now putting on full display – which in turn generate strongmen who destroy both democracy and freedom.Under fascist strongmen, no one is safe – not even oligarchs.If we want to guard what’s left of our freedom, we must meet the anti-democracy movement with a bold pro-democracy movement that protects the institutions of self-government from oligarchs like Musk and Thiel and neo-fascists like Trump.
    Robert Reich, a former US secretary of labor, is a professor of public policy at the University of California, Berkeley, and the author of Saving Capitalism: For the Many, Not the Few and The Common Good. His newest book, The System: Who Rigged It, How We Fix It, is out now. He is a Guardian US columnist. His newsletter is at robertreich.substack.com More

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    Trump reportedly considers White House advisory role for Elon Musk

    Donald Trump has floated a possible advisory role for the tech billionaire Elon Musk if he were to retake the White House next year, according to a new report from the Wall Street Journal.The two men, who once had a tense relationship, have had several phone calls a month since March as Trump looks to court powerful donors and Musk seeks an outlet for his policy ideas, the newspaper said, citing several anonymous sources familiar with their conversations.Musk and Trump connected in March at the estate of billionaire Nelson Peltz. Since then, the two have discussed various policy issues, including immigration, which Musk has become vocal about in recent months.“America will fall if it tries to absorb the world,” Musk tweeted in March.Musk has said he will not donate to either presidential campaign this election, but has reportedly told Trump he plans to host gatherings to dissuade wealthy and powerful allies from supporting Joe Biden in November.It has only been just a few years since Musk and Trump were exchanging insults. At a rally in 2022, Trump called Musk “another bullshit artist”. Meanwhile, Musk tweeted that Trump should “hang up his hat and sail into the sunset”.Musk briefly served on Trump’s White House business advisory group early during his presidency, but Musk dropped out after Trump pulled the US out of the Paris climate accord in 2017.Now, relations appeared to have softened. When Musk acquired Twitter, renaming it X, in 2022, he reinstated Trump’s account. Musk has since asked Trump to be more active on X, according to the Journal, though Trump has largely been loyal to his Truth Social platform.In March, after meeting Musk at Peltz’s estate, Trump told CNBC: “I’ve been friendly with him over the years. I helped him when I was president. I helped him. I’ve liked him.”As the owner of Tesla and SpaceX, Musk has benefited from federal government policies and contracts over the last several years, including rocket-service contracts and tax credits for electric vehicles.Trump in March said he and Musk “obviously have opposing views on a minor subject called electric cars”, with Trump opposing ramping up electric vehicle production and supporting tariffs against foreign EV manufacturing.Peltz, an investor, has been a key connector between Trump and Musk. Peltz and Musk have told Trump that they are working on a large data-driven project designed to ensure votes are fairly counted, though details on the project remain opaque. More

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    Trader Joe’s and Starbucks are helping Elon Musk undermine the US government | Steven Greenhouse

    Elon Musk boasts that he’s a “free speech absolutist”, but that didn’t stop his rocket company, SpaceX, from firing eight workers who had criticized him for making light of reports that SpaceX had settled a sexual harassment claim against him.Not stopping there, SpaceX has moved to put the National Labor Relations Board (NLRB), the US’s top labor watchdog, out of business. Earlier this year, a day after the board accused SpaceX of illegally retaliating against those workers, SpaceX filed a first-of-its-kind lawsuit that seeks to have the labor board – which has successfully overseen relations between business and unions since the 1930s – declared unconstitutional and shut down.In so doing, Musk and SpaceX have joined a broader, rightwing effort that hopes to hobble the federal government’s ability to regulate business. Indeed, SpaceX’s lawsuit could serve as a potent wrecking ball in the right’s push to weaken and perhaps demolish the administrative state – the network of federal agencies that the US Congress created to, among other things, promote workers’ safety on the job, prevent fraud in financial markets, protect workers’ right to unionize, limit environmental hazards, make sure consumer products are safe and administer social security for seniors.With their lawsuit, SpaceX and Musk – who owns 42% of that company’s shares and controls 79% of its voting power – are seeking not just to silence the eight employees who criticized Musk, but also to shut down the agency that protects such workers’ rights to speak out at all. Musk, the $180bn man, is throwing a legal temper tantrum because the NLRB has sought to hold him and SpaceX accountable.Those employees wrote a letter saying: “Elon’s behavior in the public sphere is a frequent source of distraction and embarrassment for us.” They wrote that letter after Business Insider reported that SpaceX had paid $250,000 to silence a company flight attendant who accused Musk of exposing himself and propositioning her for sex. Musk dismissed her in a tweet, saying she was a “liar” and that the incident “never happened”.The NLRB’s complaint against SpaceX is based on a law, the National Labor Relations Act, that makes it illegal for companies to fire or otherwise retaliate against workers who join together to push to improve work conditions. In their letter, the eight employees also called on SpaceX to spell out its anti-harassment policies and enforce them more effectively.If SpaceX’s lawsuit succeeds in getting the federal courts to declare the NLRB unconstitutional, it could set a dangerous precedent that other courts seize on to weaken or even eviscerate other federal agencies, such as the Environmental Protection Agency (EPA), the Occupational Safety and Health Administration (Osha), and perhaps even the Federal Election Commission (FEC) and the Social Security Administration.SpaceX’s lawsuit seeks to build on a case in which George R Jarkesy Jr, a rightwing activist and radio talkshow host, persuaded the hard-right fifth circuit court of appeals to declare the Securities and Exchange Commission unconstitutional after it fined Jarkesy hundreds of thousands of dollars for defrauding investors.In their effort to blow up the NLRB, Musk and SpaceX are hoping to capitalize on the federal judiciary’s sharp rightward turn – a shift accelerated during Donald Trump’s presidency. It shouldn’t be a surprise that SpaceX filed its lawsuit in Texas, the state that arguably has the nation’s most extreme, most activist conservative federal judges. Following SpaceX’s lead, Amazon, Trader Joe’s and Starbucks also filed legal papers seeking to have the NLRB declared unconstitutional.Like SpaceX, those companies face NLRB charges of illegally retaliating against workers. One way to look at all this is that a band of billionaires – Elon Musk, Amazon’s Jeff Bezos, Starbucks’ Howard Schultz, and Trader Joe’s German owners, the Albrecht family – are seeking to kill the federal agency that protects typical workers when they seek to unionize or merely speak up for better conditions.Using uncharacteristically tough language, Jennifer Abruzzo, the labor board’s general counsel, slammed SpaceX, Starbucks and the other companies as “deep-pocketed, low-road employers” that seek to stop the NLRB from fulfilling its pro-worker mission “because they have the money to do so”.“Unfortunately,” Abruzzo added, it seems that SpaceX and the others “would rather spend money initiating court litigation than improving their workers’ lives”.If these “low-road employers” prevail, the whole NLRB process of holding union elections and prosecuting companies that violate labor laws could crumble. This “would leave US workers more vulnerable to exploitation”, Kate Andrias, a law professor at Columbia, wrote recently.Of course, for Starbucks and Trader Joe’s, this effort to have the NLRB declared unconstitutional could backfire – sabotaging the “progressive” image they have long sought to cultivate. Many Starbucks and Trader Joe’s customers might be outraged that the companies that furnish them with lattes and organic produce have joined this conservative legal and political assault.Many legal experts have derided one of SpaceX’s main arguments: that the labor board’s administrative law judges – who determine, for instance, whether a company violated the law by firing pro-union workers – should be deemed unconstitutional. SpaceX asserts that the NLRB’s judges exercise executive functions and therefore that the president, as the head of the executive branch, should be free to fire them. (Under federal labor law, they can be fired only for cause.) SpaceX makes this argument even though it’s crystal clear that the labor board’s judges merely do what judges do: issue judicial decisions.Moreover, what SpaceX is demanding would allow Trump, if re-elected, to do something that corporate America would hate – fire labor board judges because they upset him by ruling in favor of companies whose CEOs had criticized him or not donated to his campaign. Administrative judges – whether labor board judges, immigration judges or social security judges – have legal protections against being summarily fired so that they can make honest, independent decisions without fear of being terminated for political reasons.It is sad, if not altogether surprising, that SpaceX, Amazon, Starbucks and Trader Joe’s have joined a rightwing effort to destroy the federal agencies that set the rules that helped make the US the world’s richest nation and Musk, Bezos, Schultz and other billionaires fabulously wealthy. Now these billionaires are seeking to destroy the NLRB so that they can become even more fabulously wealthy.This is yet another unsettling example of plutocrats exercising their financial might to reshape government to their liking. It’s an effort that, if successful, will hurt millions of average Americans – consumers, workers, small investors and anyone who wants the environment protected.Here’s hoping that public interest prevails over Musk and the billionaires.
    Steven Greenhouse, a senior fellow at the Century Foundation, is an American labor and workplace journalist and writer More

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    Shawn Fain, president of the UAW: ‘Workers realized they’ve been getting screwed for decades’

    From Amazon and UPS to Starbucks and Hollywood studios, organized labor is making a comeback in the US after decades of decline. Shawn Fain thinks he knows why: “Workers have realized they’ve been getting screwed for decades, and they’re fed up.”The United Auto Workers (UAW) president has emerged at the front of the pack of a new generation of labor leaders as a galvanizing voice in a critical year for the labor movement and American politics.A soft-spoken but unrelentingly blunt midwesterner, Fain has met the moment in his role as the union’s newly elected president. Having beaten the US’s big three automakers into a landmark new union contract, Fain’s members have been courted by both Joe Biden and Donald Trump. Fain has gone all in for the Democrats despite some reservations and the misgivings of some of his members.Now he faces bigger tests. The UAW is taking its fight to states that have long, successful records of seeing off union drives – and he must hold his new coalition together as the US enters a fractious election cycle that will pit worker against worker.The union boss’s political ascendancy was crowned by his recent appearance as a guest at Joe Biden’s State of Union address, where both he and the union were called out in a nationally-televised salute from the commander-in-chief.Sporting a new, closely cropped beard and wearing a dark business suit and tie for the Capitol occasion, Fain responded with a raised power fist, telegraphing in one succinct image how much organized labor’s message and tone have changed of late, along with their popularity.View image in fullscreenThe winning trajectory of the union and its new, class-conscious president have caught carmakers off guard, no more so than when Fain, 55, contrasts his workers’ declining wages with corporate share buybacks and the lavish compensation bestowed upon automotive CEOs.Not without irony, Fain’s ascent almost certainly wouldn’t have been possible but for the 2022 federal felony convictions of more than a dozen union officials, as well as three Stellantis executives, for fraud and corruption, including embezzlement of union training funds. A UAW dissident with near 30 years’ previous service as a Stellantis (formerly FCA and Chrysler) electrician in Kokomo, Indiana, Fain unseated the union’s long-entrenched leadership cabal in 2023, vowing to root out corruption and change what he viewed as the union’s overly accommodating posture toward their employers.Speaking recently with the Guardian in his office at the UAW’s Detroit headquarters – Solidarity House, a brutalist four-story structure built in the 1950s along a grim stretch of East Jefferson Avenue, overlooking the Detroit River – Fain without naming names derided previous leadership. “The corruption was one thing. But even prior to that. What they call ‘working together’, I call ‘company unionism’. All we witnessed out of that philosophy is losing plants, losing jobs. We watched over 20 years as 65 factories [owned by] the big three, disappeared. ‘Working together’ in the spirit of what I view it as would be when it’s a win-win for everybody. It’s not one-sided.”View image in fullscreenFain was a national bargaining negotiator during the Great Recession and the 2009 Chrysler bankruptcy. “I saw how the company really went after everything, took advantage of a bad situation while our workers bore the brunt of all that sacrifice. Moving forward, we’ve sat here for over a decade, watching the big three make massive profits. I ran for this reason, to change this union, to get us back to what it is supposed to be and hasn’t been in my lifetime. Right from the beginning, we had to set the tone and do things differently. We ran the contract campaign to define the narrative and define the issues. In the last decade, the [big three] companies made a quarter trillion dollars in profits. CEO pay went up 40% in the last four years. And our pay went backwards. So that was really setting the table.”Cleaning house at the union’s headquarters, Fain brought in new staff experienced in the use of social media, something that helped galvanize his campaign to lead the UAW. “I didn’t have the advantages that [predecessors] had because they were in power. They could fly all over the country on the union’s dime and visit plants under the guise of union business. People like me who were running had to take vacation [time] and go stand out at plant gates and hope to catch workers coming and going.”Fain turned to social media to interact with members all over the country. “We were doing this as a way to communicate with our members. But it turned into a lot more because social media brought in anyone that wanted to come in. The general public was paying attention, the news media paid attention. And I think it was really effective because when it got time to go on strike, 75% of Americans supported us.”The big hree were caught flat-footed by the fresh approach. “I think they just thought that it was talk,” Fain said. “They’re used to hearing talk. Companies were used to having their way, saying what they wanted and getting it. I don’t think they really knew how to handle leadership that wasn’t operating in that mode. I mean, our leaders in the past, they’d stand up and beat the podium and say, ‘We’re gonna fight, we’re gonna fight, fight, fight!’ and then when they got into negotiations, they’d roll over. Obviously, I don’t think they expected this and, let’s be honest, they didn’t expect me to be president.”View image in fullscreenBreaking with precedent, where just one of the trio of American legacy makers would be “targeted” for a strike, the UAW launched simultaneous strikes against all three, then shrewdly conserved strike funds by closing individual plants rather than all at once. The 46-day “Stand Up Strike,” begun after contract negotiations with General Motors, Ford and Stellantis collapsed, ended in a resounding victory for the UAW. Since then, with the wind at its back, the union has taken the fight to the many non-union auto manufacturing plants dotting the country, including many in southern, so-called “right to work” states.News last month that 96% of unionized workers at Daimler Trucks North America plants in North Carolina, Georgia and Tennessee voted to authorize a strike should ongoing negotiations fail to yield a satisfactory replacement for a contract expiring in April, brought fresh evidence that the record gains in its 2023 campaign against the big three have drastically altered the wider industry’s state of play. So did the UAW’s successful drives to have elections held at Volkswagen’s Chattanooga, Tennessee, and at Mercedes-Benz’ Vance, Alabama plants.Fain is bullish on the possibility of extending the union’s gains to non-union automobile factories. Notable among the Detroit settlements’ broader impact has been how, in efforts to avert unionization, several non-union carmakers, including Toyota, Honda, Tesla, Nissan, Subaru, Volkswagen, and Hyundai hurried to give workers unsolicited raises and, in some cases, improved benefits and eliminated the two-tier wage structures, where new hires, often classified as temporary, are paid substantially less than veteran workers.Fain said he believes these companies all have more to give, as does Tesla, which, despite recent share losses, has been one of the world’s most profitable makers of electric vehicles. Elon Musk, the company’s CEO, is a vociferous foe of unionization. Recently, following a complaint filed against his SpaceX company, the rocket and satellite maker joined Amazon, Starbucks and Trader Joe’s in suing the NLRB, challenging the constitutionality of the almost 90-year-old agency.View image in fullscreenFain’s overarching optimism is grounded, he insists. “Workers have realized they’ve been getting screwed for decades, and they’re fed up … If Volkswagen workers had Ford’s [new] agreement, they would have got $23,000 profit-sharing checks this year. Instead, they got zero … We made a big deal in the big three contract fight that these companies made a quarter trillion dollars in profits in the last decade. But the Japanese and Korean six [with US factories] made $480bn. The German three made $460bn in profits worldwide. Toyota alone made $256bn profit in the last decade. Their profit margins are obscenely more gross than they were at the big three, and yet their workers get less. I truly believe we’re going to see a huge shift this year. I think we’re gonna win in the south.” And Musk? A somewhat tougher nut to crack, Fain concedes, adding: “He’s the epitome of everything that’s wrong with this world.”Not one to mince words, Fain’s bold rhetoric harkens to a long-gone era, his regular use of stark terms like “billionaire class” recalling, for this reporter, childhood remembrances of elderly trade unionist relations recounting 1930s Labor Day marches down New York’s Fifth Avenue. Fain credits his old-school class consciousness to the experience of his grandparents – poor people who emigrated from the south during the Depression to the north to work in the newly unionized automobile industry, affording them a middle-class life. He also notes the importance of his faith. An unthinking churchgoer as a youth, he said adulthood brought a renewed interest in religion. “I started reading the Bible. I pray every day when I wake up. I do a daily reading. And everything I read about it, no matter what religion someone is, whether you’re Muslim or Christian, whatever your belief is, all religion speaks to one thing, it’s love of your fellow human being. With the greatest excess in the history of the world, why don’t we work with a mindset of what works for human beings?”What he doesn’t have faith in is the likelihood that corporations will use technology to make life better for his members. “[Legendary UAW leader] Walter Reuther [who died in a 1970 plane crash] had this famous saying, ‘We have to master technology, not let it master us,’” said Fain.“As we have advancements in technology, it should be making life easier for people and workers’ lives. But what happens? When technology advances, the companies find ways to eliminate jobs, close plants, exploit workers in other places. And then the people that are left with a job, they want them to work longer and harder … The companies have to realize they’ll still make their profits; government should be subsidizing some of this. And everyone wins in this equation. Workers have better lives, working class people have better lives. The companies are profitable. The money’s there. This can all happen but let’s go back to the central issue of this. It’s corporate greed and a miniscule amount of people, the billionaire class, who want to concentrate all the wealth in their hands and screw everybody else to do it.”View image in fullscreenFain objects strongly to those who would place the blame for rising car prices on union contracts. “Another myth. Five to 7% of the cost of a car is labor. [Carmakers] could give us everything they gave us in that contract and not raise the price of cars a penny and still make massive profits. Why are they not saying what $20 billion in [additional] corporate dividends and stock buybacks cost them? That affects the bottom line more. That money somehow just disappears and doesn’t count, right? All they want to talk about is our wages and our benefits. People forget, over the last four years, the price of vehicles went up 35% on average. But our wages didn’t go up. Our benefits didn’t get better. Nothing changed for us. [Price hikes are] because of two things: corporate greed and consumer price gouging. They just pile all those costs on and then try to blame the workers for it.”A latter day rise in the union’s long-sagging fortunes – its membership dwindled from 1.5m in the 1970s to its current 380,000 – has been seen by some hopeful observers as early evidence of a burgeoning reversal of the downward trend that began with the punishing defeat of the air traffic controllers’ union early in the Reagan administration. In hindsight, Fain, who was a teenager at the time, suggests “all labor, not just union labor, should have come together then. I wish they would have. Because what’s happened over the last 40 years? Reagan and the ‘greed is good’ idea and the new philosophy of the rich getting richer. Forty years of going backwards for the working class … people understand that they’ve been left behind. Workers are now scraping to get by, while working multiple jobs, seven days a week, 12 hours a day and living paycheck to paycheck. That’s not a life. When I was a kid it didn’t matter if you worked at a grocery store, or if you worked at an assembly plant, a one-person income could sustain a family. That’s not the case anymore … workers, union and non-union, have to harness the power that we have and take back our lives.”Asked about the parallels between Reagan and Trump, charismatic presidents who quietly championed the interests of wealth and organized capital while retaining a strong following among the working class, Fain acknowledged the undeniable presence of a voluble Maga contingent among autoworkers including members of his own union. But he played down the political division within the ranks.Trump, a lifelong anti-union voice, has singled out the labor organization and Fain, in particular, for derision. Calling the union corrupt and Fain “a weapon of mass destruction” for jobs, Trump traveled to Detroit during the high-profile strike to a staged rally purportedly in support of auto workers but opposed to the union. Held at a non-union plant that charged his campaign $20,000 for its use, the event featured a crowd containing no actual auto workers, anti-union or otherwise.In January, Fain, who has said Trump represents the billionaire class and “doesn’t give a damn about working-class people” endorsed Biden’s re-election bid on the union’s behalf. “As I tell our members, ‘Look, this isn’t a Democrat-Republican issue. This isn’t a party issue. This wasn’t my opinion. Let’s look at their own words and their own actions.’” Fain credits Biden and Democrats with the federal government’s rescue of the domestic industry during the 2008-2009 recession, as the newly-installed Obama administration pro-actively addressed the bankruptcies of GM and Chrysler. “They worked on a path forward for [the US car business] to come out of this and to live, they battled for the American worker. Trump, at the same time, was blaming the workers for everything that was wrong with these companies.”Last Fall “[f]or the first time in American history, a sitting US president [Biden] joined workers on the picket line. Trump had that opportunity in 2019, when GM was on strike for 40 days. He never said a word about the strike. He never did a damn thing to support it.”Auto worker support could well be critical in determining the allegiance of Michigan’s electoral college delegates, as well as those in other swing states. There’s no doubting where Fain thinks their best interest lie. “Joe Biden has a lifelong history of serving others and in standing with working-class people. President Trump has a lifetime history of serving himself and the billionaire class. And so there’s a stark contrast there. When you look at those things, the decision for us is very easy about who has our interests at heart. And who doesn’t. Sure, some of our members are still going to vote for Trump. But at the end the day we have to put the facts out there, we have to talk to our members about that and hope like hell we don’t have another disaster for four years.” More