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    Billionaires are lining up to eagerly fund Trump’s anti-democratic agenda | Robert Reich

    As an ever-greater portion of the nation’s total wealth goes to the top, it’s hardly surprising that ever more of that wealth is corrupting US politics.In the 2020 presidential election cycle, more than $14bn went to federal candidates, party committees, and Super Pacs – double the $7bn doled out in the 2016 cycle. Total giving in 2024 is bound to be much higher.That money is not supporting US democracy. If anything, that money is contributing to rising Trumpism and neofascism.There is a certain logic to this.As more and more wealth concentrates at the top, the moneyed interests rationally fear that democratic majorities will take it away through higher taxes, stricter regulations (on everything from trade to climate change), enforcement of anti-monopoly laws, pro-union initiatives and price controls.So they’re sinking ever more of their wealth into anti-democracy candidates.Donald Trump is going full fascist these days and gaining the backing of prominent billionaires.Earlier this month, on Veterans Day, Trump pledged to “root out the communists, Marxists, fascists and the radical-left thugs that live like vermin within the confines of our country”, whom he accused of doing anything “to destroy America and to destroy the American dream”. (Notably, he read these words from a teleprompter, meaning that they were intentional rather than part of another impromptu Trump rant.)Days before, Trump claimed that undocumented immigrants were “poisoning the blood of our country”. The New York Times reported that he was planning to round up millions of undocumented immigrants and detain them in sprawling camps while they wait to be expelled.Trump has publicly vowed to appoint a special prosecutor to “go after” Joe Biden and his family, and has told advisers and friends that he wants the justice department to investigate officials who have criticized his time in office.This is, quite simply, full-throated neofascism.Who’s bankrolling all this? While Trump’s base is making small contributions, the big money is coming from some of the richest people in the US.During the first half of the year, multiple billionaires donated to the Trump-aligned Make America Great Again, Inc Super Pac.Phil Ruffin (net worth of $3.4bn), the 88-year-old casino and hotel mogul, has given multiple $1m donations.Charles Kushner (family net worth of $1.8bn), the real estate mogul and father of Jared, who received a late-term pardon from Trump in December 2020, contributed $1m in June.Robert “Woody” Johnson (net worth of $3.7bn), Trump’s former ambassador to the United Kingdom and co-owner of the New York Jets, donated $1m to the Maga Pac in April.And so on.But Trump is not the only extremist pulling in big dollars.Nikki Haley – who appears moderate only relative to Trump’s blatant neofascism – claimed in her campaign launch that Biden was promoting a “socialist” agenda.During her two years as UN ambassador under Trump, Haley was a strong proponent of his so-called “zero tolerance” policy under which thousands of migrant children were separated from their parents and guardians.She supported Trump’s decision to pull out of the UN human rights council and to withdraw from the Iran nuclear deal.Though she briefly criticized Trump for inciting the mob that attacked the US Capitol on 6 January 2021, Haley soon defended Trump and called on Democratic lawmakers to “give the man a break” when they impeached him for a second time.Haley recently told Kristen Welker of NBC’s Meet the Press that while Trump’s floating the idea of executing retired Gen Mark Milley might be “irresponsible”, it is not enough to disqualify Trump from running for the White House again.Haley’s billionaire supporters include Stanley Druckenmiller and Eric LeVine. The Republican mega-donor Ken Griffin has said he is “actively contemplating” supporting Haley.Notably, Haley has also gained the support of JPMorgan Chase’s chief executive, Jamie Dimon, who’s about as close as anyone in the US comes to being a spokesperson for the business establishment. Dimon admires Haley’s recognition of the role that “business and government can play in driving growth by working together”.The moneyed interests have been placing big bets on other Trumpist Republicans.Peter Thiel, the multibillionaire tech financier who once wrote that “I no longer believe that freedom and democracy are compatible,” contributed more than $35m to 16 federal-level Republican candidates in the 2022 campaign cycle, making him the 10th largest individual donor to either party.Twelve of Thiel’s candidates won, including Ohio’s now-senator JD Vance, who alleged that the 2020 election was stolen and that Biden’s immigration policy has meant “more Democrat voters pouring into this country”.The Republican House majority leader, Steve Scalise, is creating a new fundraising committee which will be soliciting contributions of up to $586,200 a pop.Elon Musk is not a major financial contributor to Trump nor other anti-democracy candidates, but his power over one of the most influential megaphones in the US gives him inordinate clout – which he is using to further the neofascist cause.Witness Musk’s solicitude of Trump, his seeming endorsement of antisemitic posts, his embrace of Tucker Carlson and “great replacement” theory, and his avowed skepticism towards democracy.Democracy is compatible with capitalism only if democracy is in the driver’s seat, so it can rein in capitalism’s excesses.But if capitalism and its moneyed interests are in charge, those excesses inevitably grow to the point where they are able to extinguish democracy and ride roughshod over the common good.That’s why Trump’s neofascism – and the complicity of today’s Republican party with it – are attracting the backing of some of the richest people in the US.What’s the alternative? A loud pro-democracy movement that fights against concentrated wealth at the top, humongous CEO pay packages, a politically powerful financial sector, and tax cuts for the wealthy and large corporations.And fights for higher taxes on the top (including a wealth tax) to finance Medicare for all, affordable housing, and accessible childcare and eldercare.The willingness to make this a fight – to name the moneyed interests backing neofascism, explain why they’re doing this, and mobilize and energize the US against their agenda and in favor of democracy – is critical to winning the 2024 election and preserving and rebuilding US democracy.Biden and the Democrats must take this on, loudly and clearly.
    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 21 November 2023 to clarify Ken Griffin’s position More

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    A capitalist cheerleader wrote the US’s hottest new self-help book. Surprised? | Adam H Johnson and David Sirota

    As economic misery in the US persists, the country’s self-help industry has become a multibillion-dollar bonanza. If one reads enough of that industry’s happiness catechism – including its latest bestseller, Build the Life You Want – one realizes that all of the advice revolves around a core set of directives: focus on the self rather than the collective, redeploy hours to different priorities, spend less time at work, build deeper personal relationships – and, by implication, buy more self-help books.But if “time is money”, then in America’s survival-of-the-richest form of capitalism, time-intensive remedies are mostly for the affluent – that is, those with a big enough savings account to de-risk career changes; those with enough income to afford gym memberships, hobbies and excursions; those with enough paid leave and cash to enjoy the best vacations; those with enough resources to employ personal aides to do paperwork, chores and cleaning; those with enough workplace leverage to secure more hours off for introspection, friend time and outdoor adventures.Erasure of privilege disparity and presumption of wealth has turned most self-help products into a series of Stuart Smalley affirmations for the already and nearly comfortable. But while such class bias pervades the happiness industry, it is particularly egregious coming from the author of the aforementioned Build the Life You Want: Arthur Brooks, hardly a disinterested bystander in this epoch of economic anxiety and its attendant unhappiness.As the former $2.7m-a-year head of the American Enterprise Institute (AEI) – one of the country’s most prominent conservative thinktanks – Brooks spent a decade sowing the despair he now insists he is here to cure.Brooks’ career turn from let-them-eat-cake ideologue to I-feel-your-pain happiness prophet may seem bizarre. But he is walking the well-trodden – and lucrative – path from arsonist to firefighter. It is a trail previously blazed by financial crisis-era deregulators now platformed as credible economic experts, and by Iraq war proponents reimagined as leaders of a pro-democracy resistance.In Brooks’ case, he led an organization that repeatedly worked to help its billionaire and corporate donors prevent working-class Americans from securing the better standard of living, universal benefits and leisure time that undergird the countries consistently reporting the world’s highest levels of happiness.Citing a colleague’s book deriding Americans as “takers”, Brooks insisted the central crisis facing the nation is not a notoriously thin social safety net – but politicians who “offer one government benefit after another to our citizens”, complaining that this “has made a majority of Americans into net beneficiaries of the welfare state”.He declared war on “labor unions and state employees demanding that others pay for their early retirements, lifetime benefits, and lavish state pensions”. Under his leadership, the AEI railed against “entitlement” programs, tried to privatize and gut social security, opposed Medicaid expansion, opposed free college, opposed rent control and fought against free healthcare.Now, Brooks’ pivot to happiness guru is disseminating that political agenda via the soft agitprop of self-discovery and self-improvement. Along the way, Brooks is being boosted by (among others) the Atlantic, NPR and Oprah Winfrey (who is listed as co-author of the book, although in reality she only writes a handful of introductory paragraphs to each chapter) – together the most coveted media seals of approval for liberal readers whose purported ideals Brooks spent his career grinding into political dust, but who are now enriching him with $30 book purchases.On its face, Build the Life You Want offers a mix of reasonable – if banal – life advice, parables, reasonably clear distillations of complex philosophical and linguistic concepts, and synthesized academic research. The book engages in pop metaphysics that limits its ambition for the more science- and liberal-minded from the get-go, letting us know that achieving “happiness” – as some final stage of contentment – is impossible. But, Brooks insists, “we can be happier” in relative terms.“Unlike other books you may have read,” he tells us, “this one is not going to exhort you to pull yourself up by your bootstraps. This isn’t a book about willpower ​​– it’s about knowledge, and how to use it.”Which is all to say, this book is absolutely about how to pull yourself up by your bootstraps and follow concrete steps to self-contentment, but doing so with some reputable sociology and psychology studies as your guide rather than the quasi-fascist bromides about being an alpha dog one typically hears from the likes of Jordan Peterson. But the general motivational tone and reactionary political premises are the same.The book kicks off in earnest with a scrappy, can-do story of self-determination on the part of Brooks’ Spanish mother-in-law, “Albina”, who is used as a template for self-fulfillment.In the introduction, titled Albina’s Secret, we are told that, after years of living with an abusive husband and a fraught domestic life, “One day, when Albina was forty-five, something changed for her. For reasons that were not clear to her friends and family, her outlook on life seemed to shift. It’s not that she was suddenly less lonely, or that she mysteriously came into money, but for some reason, she stopped waiting for the world to change and took control of her life. The most obvious change she made was to enroll in college to become a teacher.”Brooks asserts that the primary change that propelled Albina toward midlife happiness was her shift from worrying about “the outside world” to looking inward.“She switched,” Brooks tells us, from “wishing others were different, to working on the one person she could control: herself.”Personal responsibility is a hallmark of the self-help genre, and Brooks’ breezy title has this convention in spades. In his telling, changing “the outside world” as a pathway to peace and happiness is a fool’s errand. Like virtually all self-help books, we are told the road to self-satisfaction is found within – not with our circumstances, but how we respond to our circumstances.This is a convention of the capitalist self-help genre for one obvious reason: it requires nothing in the “outside world” to change. And once one gets into the messiness of “changing the outside world”, one ventures into political theory. This is uncomfortable and can’t be put into an earth-toned 700-page book that rich Atlantic subscribers will want to buy.Albina’s solution, Brooks tells us, wasn’t to find her local underground socialist party or union headquarters and join a political movement to combat the Franco regime, or to try to materially improve the lot of other women sharing her gender-based suffering – it was to ignore “the outside world” and instead focus on a career shift and a switch in attitude.Like a lot of self-help advice, this works on a micro scale. Surely, it’s too great an ask to demand a middle-aged mother in an economically precarious situation join the fight against the Franco regime. But Brooks is constitutionally uninterested in the forces of patriarchy and capitalism that co-authored the misery – not because they’re irrelevant to his self-help brand of anti-politics, but because of it.Self-help makes grand claims about human progress, it offers advice to the masses on how they can improve their lot – it is inherently political by its nature. But Brooks does not tell us that we can be empowered by making demands of the powerful, or joining a union or a political movement, but – how else – by buying his book.This is Brooks’ big trick: his happiness recommendations presume a society that can and will never change from the one he helped craft in Washington.In today’s AEI-sculpted America, millions are deprived of the building blocks of happiness such as guaranteed healthcare, free higher education, paid family leave, workplace empowerment, retirement security and a host of other social democratic pillars that sustain the world’s happiest societies. Unwilling to allow for the possibility that such conditions can or should change in the United States, Brooks nonetheless presents happiness as an achievable self-centric project inside the dystopia he helped create.Build the Life You Want follows Brooks’ first foray into the happiness industry – a book called From Strength to Strength that is about “finding success, happiness, and deep purpose in the second half of life”.That monograph argues that because of the way humans’ brains change, one’s professional decline begins much earlier than we expect. The book suggests that workers in midlife should therefore move into work roles that require less cognitive innovation (fluid intelligence) and more teaching of acquired wisdom (crystallized intelligence).It is an important finding that might prompt a broader discussion of policies that could account for this inevitability – retraining programs, funding for midlife career education, universal portable benefits that allow for job switches and earlier retirement ages. But ever the conservative ideologue, Brooks eschews all that, instead channeling the old conservative trope that failing to change professional trajectory – or being demoralized by the work treadmill – is just a mental flaw in one’s personal outlook.“Satisfaction comes not from chasing bigger and bigger things, but paying attention to smaller and smaller things,” he writes, in a call for a mass change of attitude.What prevents necessary career shifts that might lead to happiness, Brooks asserts, is “self-objectification, workaholism, and most of all success addiction that chain us to our declining fluid intelligence curve.”“What do I want to do with my time this week to cultivate the relationships that will result in that end scenario?” Brooks says he asks himself in order to imagine an existence of stronger personal bonds. “I might make the decision to leave work on time, leave my work at the office, get home for dinner, and watch a movie after dinner with my family.”In this dreamscape, most Americans get to choose when they work, and under what conditions. Nowhere in Brooks’ world of lanyards does he consider that Americans working ever-longer hours and ever-more jobs may have less to do with career ambition than with simply trying to earn enough to pay the ever-increasing bills – bills that fund the ballooning profits of the kind of donors who can pay Brooks’ upwards of $125,000 speaking fee or write six-figure checks to outfits like the AEI.This same ideology carries into Build the Life You Want, where Brooks repeatedly hints at a deeper theme of overwork and soul-sucking labor, but avoids the obvious indicators and instead moves on to sell his brand of self-analysis – with little consideration of systemic problems.Recapping researchers documenting how humans are usually good at categorizing their own positive associations, Brooks notes that “activities that were most negative and least positive were commuting and spending time with one’s boss”.He caps this off with a joke: “Obviously, then, it’s definitely best not to commute with your boss.” It’s clear that people’s least favorite activities are related to working dreary, miserable jobs.Does this prompt Brooks to apologize for leading the fight against proposals for government-sponsored healthcare that could end the employer-based system and free Americans to search for more fulfilling jobs without fear of losing access to medical services?No, it’s the subject of a wisecrack and he moves on.This isn’t to say the book is uninterested in “careers” – it very much is. It just doesn’t care much for jobs, or the masses who occupy work for work’s sake, to stave off starvation and homelessness – what novelist Ursula K Le Guin called kleggich, or “drudgery”, work that the vast majority of people do day in and day out for survival.The target demographic for Brooks is the aggressively middle and upper class, so what matters is how “happy” the job makes them rather than whether the worker has carpal tunnel syndrome or is subject to sexual harassment, precarity and a host of problems that affect anyone who can’t afford the luxury of lifehacking their happiness as Brooks prescribes.In its characteristically fawning profile of Brooks as “part social scientist, part self-help coach, part motivational speaker, and part spiritual guru”, Politico recently cast his journey as a departure from politics and ideology.“Brooks has undergone one of the more unusual professional transformations that Washington has witnessed in recent decades,” the Beltway news outlet wrote. “His most recent transformation also represents a type of retreat – away from a conservative movement that once held him up as a model of its future.”Brooks himself leans into this assertion, arguing that “I’m not a player in the conservative movement” and adding that his career in the conservative movement “is just not relevant – this stuff isn’t relevant anymore”.But Brooks’ professional trek is less a “transformation” – and less shocking – if one considers that his happiness books are ideological manifestos shrouded in the veil of social science. His new literature is the kind of academia-flavored politics that has long been the central product – and sleight of hand – of the almost $70m thinktank that Brooks ran for a decade. (The AEI still lists Brooks as one of its scholars.)From its origin, the AEI has depicted itself as a staid, nonpartisan, quasi-academic institution, even though it has always been a lobbying front for rightwing forces – a one-stop shop where corporate America can advance its ideological and political interests under the auspices of academic research and policy-shaping.Though not mentioned in the AEI’s official history, President Harry Truman shut down the organization in 1949 because it was illegally operating as a lobbying front for the railroad industry. It falsely called itself an “educational association” while sharing a physical address with a rail lobby. Though the AEI’s donors remain anonymous to this day (a practice frowned upon in the non-profit world for obvious reasons), the donors that have been revealed through reporting include fossil fuel extractors, labor abusers, opioid pushers, dictators, weapons makers and big tech giants – all of which have an interest in shaping US political discourse, under the guise of seemingly nonpartisan empiricism.The bulk of Build the Life You Want is harmless enough, synthesizing sociological and psychological theories and studies from the past 50 years or so, from personality sorting questionnaires to scientifically suspect, but persistently popular, reliance on brain activity research. But Brooks then weaponizes that research and scholarship to create ideological storylines.The book stresses the importance of “earned success”, which is Brooks’ personal conservative spin on “learned helplessness” – a concept popularized in the 1970s by Martin Seligman, the so-called “father of positive psychology”.“Earned success instead gives you a sense of accomplishment and professional efficacy,” Brooks writes. “The best way to enjoy earned success is to find ways to get better at your job, whether that leads to promotions and higher pay or not.”Hard work for its own sake will make us happier is a storyline that couldn’t have been better articulated by AEI scholars, who insinuate that Americans’ big problem is their alleged lack of work ethic, not the rapaciousness of the thinktank’s donors.Paraphrasing – or rather, misreading – Viktor Frankl, the author of the 1946 Holocaust memoir and social psychology text Man’s Search for Meaning, Brooks writes that “the common strategy of trying to eliminate suffering from life to get happier is futile and mistaken; we must instead look for the why of life to make pain an opportunity for growth.”Later, building off Frankl’s works, Brooks repeats a major theme of the book: circumstances aren’t what matter, our response to them is.“You can’t choose your feelings,” Brooks tells us. “But you can choose your reaction to your feelings. What [Frankl] was saying is … If someone you love gets sick, you will be afraid, but you can choose how you express this fear, and how it affects your life.”But if a loved one is sick, the most significant way one can choose how it “affects your life” is if said loved one has quality, inexpensive healthcare – something Brooks spent more than 10 years working to make sure the poor can’t have. What would the average person rather have in the face of an earth-shattering family illness: a squishy life guideline to managing emotions or quality healthcare?Obviously the latter, but for Brooks, only the former is on offer.This “tough it out” ethos is consistent with Brooks’ decades of advocating the evisceration of programs designed to help the poor survive – all to extend “happiness” and prosperity to the masses.“It is a simple fact that the United States is becoming an entitlement state,” he wrote in a 2012 Wall Street Journal op-ed that depicted social security, welfare programs and disability benefits as “impoverishing the lives of the growing millions dependent on unearned resources”.“The good news is that we have a golden opportunity to rein in entitlements,” he said, invoking Washington-speak for reducing social security benefits, which the AEI has proposed. “By reforming entitlements and the tax system instead of extracting more money with higher tax rates, the economy could be reoriented away from unearned transfers to earned wages. This would make the economy fairer and sounder. And in the process it could build a happier country for ourselves and our children.”If it seems deeply cynical to use pop psychology and pop morality of “earning” money and creating “happiness” to argue for lowering taxes for the rich and cutting social programs for the poor, that’s because it is.Brooks now insists he is no longer manufacturing such political opinion, but his old austerity activism shines through in his happiness literature.The most explicit example is in his book From Strength to Strength. As part of a passage headlined “The benefits of weakness, pain, and loss”, Brooks cites Frankl to suggest that a world of hardship may actually be desirable, because people “could find the meaning of their lives, and personal growth, in all kinds of suffering”.Perhaps this explains why Brooks’ new iteration as a happiness guru includes no mea culpa for his past career explicitly advocating for the austerity that sows so much desperation. If suffering is a catalyst for personal growth, then why should he offer contrition?The mystery, then, isn’t why he is so unapologetic and still on this trajectory (answer: it is lucrative). The most vexing question is: why are so many liberals falling for this act?This is a man who is deeply uninterested in – and, indeed, actively hostile to – creating the conditions that allow anyone who isn’t in his class status the capacity to be safe and secure, much less happy, and he is now one of the country’s most prominent gurus for finding “happiness”.For the better part of a decade, Brooks hired and curated the careers of documented racists like Charles Murray, climate denialists like Mark Perry and ”replacement theory” advocates such as JD Vance. Now he’s doing a calm, professorial routine about how we all need to take a practical, science-driven path to being happier?This should be a scandal, but Brooks frames it in the right Atlantic-ese, so most just nod along.For a book about a life well lived, Build the Life You Want is remarkably short on objective discussions of ethics or virtue. All moral content exists entirely inside the head of the reader or the authors’ examples of happy people (what makes you feel inspired, what our subject found fulfilling), with zero discussion about what is objectively virtuous or what can be done as a community rather than as an individual – fitting for a career funded by ExxonMobil, the Koch brothers and heirs to the Walmart fortune.Ultimately, this is where all of these class-flattening, middlebrow self-help discussions of happiness fall apart: they treat “happiness” as the center of the moral universe rather than virtue, which is to say, the politics of maximizing others’ happiness over one’s own in a systematic way, rather than as one-off instances of bourgeois charity.But, of course, serial killers are “happy” murdering, Charles Koch is “happy” extracting profit from low-wage workers, and Saudi dictators are “happy” hosting cocaine-fueled yacht parties and buying soccer teams. So what? Being happy is not inherently good or bad. What matters is building systems of justice, welfare and safety that allow the maximum number of people to be secure and healthy.If granting the average working person rights to a universal basic standard of living ends up creating more happiness, then all the better.But without such foundational rights – rights Brooks has spent his career opposing – what is “happiness” if not an abstract privilege of those who can afford it?
    Adam H Johnson is the co-host of the podcast Citations Needed and a writer for the Substack newsletter The Column
    David Sirota is a Guardian US columnist and an award-winning investigative journalist. He is an editor-at-large at Jacobin and the founder of the Lever. He served as Bernie Sanders’ presidential campaign speechwriter
    A version of this article first appeared in the Lever More

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    Strikes aren’t bad for the US economy. They’re the best thing that could happen | Robert Reich

    America is in the midst of the biggest surge in labor activity in a quarter-century.The United Auto Workers (UAW), the Writers Guild of America, the actors’ union known as Sag-Aftra, Starbucks workers, Amazon workers, the Teamsters and UPS, flight attendants. The list goes on.More than 4.1m workdays were lost to stoppages last month, according to the labor department. That’s the most since 2000. And this was before the UAW struck the big three.Some worry about the effect of all this labor activism on the US economy, and view organized labor as a “special interest” demanding more than it deserves.Rubbish. Labor activism is good for the economy in the long run. And organized labor isn’t a special interest. It’s the leading edge of the American workforce.What accounts for this extraordinary moment of labor activity?Not that workers enjoy striking. Even where unions have funds to help striking workers offset lost wages, they rarely make up even half of what’s forgone. Large corporations whose operations are hobbled by strikes often lay off other workers, as the big three and their suppliers are now threatening to do.The reason workers go on strike is their expectation that the longer-term gains will be worth the sacrifices.Today’s labor market continues to be tight, despite efforts by the Fed to slow the economy and make it harder for workers to get raises. So employers (like UPS) are more inclined to give ground to avoid a prolonged strike.But something far more basic is going on here. As I travel around the country, I hear from average working people an anger and bitterness I haven’t heard for decades. It centers on several things.The first is that wages have barely increased while corporate profits are in the stratosphere.Average weekly non-supervisory wages, a measure of blue-collar earnings, were higher in 1969 (adjusted for inflation) than they are now.The American dream of upward mobility has turned into a nightmare of falling behind. Whereas 90% of American adults born in the early 1940s were earning more than their parents by the time they reached their prime earning years, this has steadily declined. Only half of adults born in the mid-1980s are now earning more than their parents by their prime earning years.Nearly one out of every five American workers is in a part-time job. Two-thirds are living paycheck to paycheck.Meanwhile, executive compensation has gone through the roof. In 1965, CEOs of America’s largest corporations were paid, on average, 20 times the pay of average workers. Today, the ratio is over 398 to 1.Not only has CEO pay exploded. So has the pay of top executives just below them. The share of corporate income devoted to compensating the five highest-paid executives of large corporations ballooned from an average of 5% in 1993 to more than 15% today.Corporate apologists claim CEOs and other top executives are worth these staggering sums because their corporations have performed so well. They compare star CEOs to star baseball players or movie stars.But most CEOs have simply ridden the stock market wave. Even if a company’s CEO had done nothing but play online solitaire, the company’s stock price would have soared.Stock buybacks have also soared – a huge subsidy to investors that further tips the scales against working people. The richest 1% of Americans owns about half the value of all shares of stock. The richest 10%, over 90%.Why don’t corporations devote more of their income to research and development, or to higher wages and benefits for average workers? In a word, greed.Small wonder that unions are more popular than they’ve been in a generation. A Gallup poll published in August found that 67% of Americans approve of unions, the fifth straight year such support has exceeded the long-term polling average of 62%.Joe Biden has pitched himself as the most pro-union president in recent history. More surprisingly, Republican politicians are trying to curry favor with union workers as well. Both parties know that much of the working class is up for grabs in 2024.American workers still have little to no countervailing power relative to large American corporations. Unionized workers now comprise only 6% of private-sector workforce – down from over a third in the 1960s.Which is why the activism of the UAW, the Writers Guild, Sag-Aftra, the Teamsters, flight attendants, Amazon warehouse workers and Starbucks workers is so important.In a very real sense, these workers are representing all American workers. If they win, they’ll energize other workers, even those who are not unionized. They’ll mobilize some to form or join unions.They’ll push non-union employers to raise wages and benefits out of a fear of becoming unionized if they don’t. They’ll galvanize other workers to stage wildcat strikes for better pay and working conditions.For far too long, America’s top executives, Wall Street traders and biggest investors have siphoned off almost all the economic gains. This is unsustainable, economically and politically.It’s not economically sustainable because the only way businesses can sell the goods and services American workers produce is if workers have enough money to buy them. If most gains continue to go to the top, the economy will become ever more susceptible to downdrafts and crashes.Today’s mainstream media emphasize the feared negative effects of the current wave of strike on the US economy, forgetting that the wave of strikes in the 1930s, 1940s, and 1950s helped create the largest middle class the world had ever seen – the key to America’s postwar prosperity.Stagnant wages and widening inequality are politically unsustainable because they foster anger and bitterness that’s easily channeled by demagogic politicians (re: Donald Trump and his enablers in the Republican party) into bigotry, paranoia, xenophobia and authoritarianism.The current wave of strikes isn’t bad for America. It’s good for America.Labor is not a “special interest”. It is, in a real sense, all of us.
    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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    CEOs of top 100 ‘low-wage’ US firms earn $601 for every $1 by worker, report finds

    The CEOs of the top 100 companies paying the lowest wages made an average of $601 for every $1 earned by the average worker last year as executive compensation continued to climb to record highs.A new report from the Institute for Policy Studies singles out which 100 companies in the S&P 500 pay their workers the least, companies the report dubs the “low-wage 100”. These companies paid their employees – including workers outside the US and part-time workers – a median wage of $31,672 in 2022, while their CEOs took home an average $15.3m.Many of these companies also invest millions each year in stock buybacks – when a company buys shares of its own stock as a way to boost stock prices and give more money to shareholders. Of the “low-wage 100”, 90 companies conducted stock buybacks, spending a collective $341.2bn buying their own shares from January 2020 to May 2023.“This is really hard data that reinforces what is the major story in corporate America: instead of investing in their workforce or investment to be competitive, in the long term, they’ve been putting out huge sums to enrich their CEOs and their shareholders,” said Sarah Anderson, the report’s lead author. “These are sums that workers at these companies could not even wrap their minds around.”The report highlights companies that stood out within the group, including the highest-paid CEOs and the largest stock buybacks.LiveNation CEO Michael Rapino had the largest compensation of the group, raking in $139m in 2022. Meanwhile, the median pay for the company last year was $25,673. Though LiveNation has come under scrutiny for its domination of the US live music industry, its revenue has been soaring over the last year as more Americans attend concerts.Of the companies that had stock buybacks, Lowe’s spent the most, dedicating $34.9bn to its own shares over the last three years. Lowe’s CEO, Marvin Ellison, had a compensation of $17.5m in 2022, while the median worker pay was $29,584 for the year.CEOs of the “low-wage 100” who had been at their company from at least 2019 until 2022 saw their personal stock holdings increase 33% during those three years, growing an average of $184.7m. In comparison, median pay at the companies rose 10%.The Dollar Tree CEO, Michael Witynski, saw the biggest increase in his stock holdings, which went up 2,393% over the last three years to $30.5m as the company grew its retail footprint. The median pay for workers actually decreased in comparison, going down 4.4% to $14,702. The company spent about $2bn on stock buybacks over the last three years.Stock buybacks have become more commonplace over the last few years. Buybacks reached a record high in 2022 and are expected to reach $1tn for the first time in 2023. Proponents argue that they rightfully give a company’s profits to its shareholders and help create activity in the stock market, but the practice is attracting criticism in Washington.skip past newsletter promotionafter newsletter promotionThe bipartisan Inflation Reduction Act of 2022 included a 1% excise tax on stock buybacks, making them more expensive for companies to do. In his State of the Union address earlier this year, President Joe Biden proposed increasing the excise tax to 4%.The report argues there are more policies the federal government can take on to disincentivize stock buybacks. For example, by prioritizing companies that don’t engage in stock buybacks when picking contractors and companies that receive subsidies. According to the report, 51 out of the “low-wage 100” companies received federal contracts over the last three years worth $24.1bn and spent $160bn on stock buybacks. The report calculated that the average CEO compensation for these 51 companies was $12.7m in 2022. In comparison, a White House cabinet member makes $226,300 a year.“We’re not talking about putting an iron ceiling on how much a CEO can make, but we can use government policy to encourage companies to move in the right direction,” Anderson said. More

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    The protest song that’s taken America by storm hits too many false notes | Kenan Malik

    There is mean things happening in this landOh the rich man boasts and bragsWhile the poor man goes in ragsThere is mean things happening in this landSo runs the opening verse of John Handcox’s classic 1930s song There is Mean Things Happening In This Land. Handcox was a tenant farmer and union organiser in Arkansas during the Great Depression. His family, like thousands of others, had been made destitute, crushed between the droughts that afflicted the dust bowl and the ruthlessness of east coast bankers and of the old plantation owners, the white oligarchy that had retained its power in the south after the civil war.I don’t know if Oliver Anthony knows of Handcox. A jobbing country singer from Virginia, Anthony’s video of his song Rich Men North of Richmond has gone viral over the past week, clocking up more than 20m views on YouTube, rising to the top of the streaming charts and becoming an anthem for conservatives from Marjorie Taylor Green, the reactionary Republican congresswoman from Georgia, to the rightwing political commentator Matt Walsh, all viewing Anthony as a righteous figure, whose “rawness” and “authenticity” speak to real Americans.In some ways, Rich Men North of Richmond echoes the themes of Handcox’s song, giving voice to a sense of a world divided into rich and poor, and of ordinary people as menaced by those in power. It also shows the degree to which the working-class tradition that Handcox helped forge has decayed, politically and culturally.Handcox was not simply a singer or songwriter. He was first and foremost a union activist, and it was out of his activism that his music flowed. He stood in a long line of working-class troubadours. From The Ballad of Joe Hill to This Land Is Your Land, much of what is now called the Great American Songbook emerged from grassroot struggles, songs created to organise, inspire and console. Some names in that tradition are well known – Paul Robeson or Woody Guthrie. Others, such as Ella May Wiggins, a millworker murdered by a militia during thenotorious Loray Mill strike in 1929, and Sarah Ogan Gunning, a nurse and midwife from the mining country in Kentucky, are largely lost to the collective memory.All helped create a movement in which music became a central strand in the struggle for justice and betterment. It was a tradition that, long before the civil rights movement, was committed to interracial solidarity. Not only were African Americans, such as Robeson and Handcox, an inextricable part of the working-class folk scene, but there was much cross-fertilisation across blues, gospel and folk.Handcox was an organiser for the Southern Tenant Farmers Union (STFU), helping stage a major strike of cotton pickers demanding better pay in 1935. The strike was met with ferocious violence from planters, militias and the Ku Klux Klan. The union was crushed, and Handcox, blacklisted and threatened by lynch mobs, was forced to flee, joining the thousands who had formed a great exodus out of the dust bowl, the raw horrors of which were captured in Dorothea Lange’s photographs and in John Steinbeck’s novel The Grapes of Wrath.Handcox would have understood Anthony’s lament in Rich Men North of Richmond about the precariousness of working-class life. But where he was committed to collective action and unionisation, Rich Men North of Richmond expresses individualised resentment. It is a resentment not towards bosses or the capitalist class, as in the old songs but, as has become fashionable today, towards a nebulous political elite, defined as much by its cultural alienness as by its economic power.A boss who is culturally familiar seems less threatening than a member of the cosmopolitan elite. Anthony even gives a nod towards conspiracy theories about paedophiles (“I wish politicians would look out for miners / And not just minors on an island somewhere”). It is a resentment, too, not just towards the elite but also the undeserving poor, towards benefit recipients and welfare scroungers: “Lord, we got folks in the street, ain’t got nothin’ to eat / And the obese milkin’ welfare”. For Anthony, “if you’re 5-foot-3 and you’re 300 pounds / Taxes ought not to pay for your bags of fudge rounds”. Only for some is the precariousness of life to be condemned.All this has turned the song into a conservative hymn, “the protest song of our generation”, as Walsh has described it. Most of those who laud Rich Men North of Richmond as being, in Greene’s words, “the anthem of the forgotten Americans”, have also long campaigned to deny those forgotten Americans their dues. They oppose unionisation and Medicare and abortion rights, view tax cuts for the rich as more important than support for the poor, and despise welfare payments as “money stolen”. A century ago, they would have condemned Handcox and Wiggins, Robeson and Guthrie, as treacherous “reds”, cheered on the strike-breaking militias, and probably joined them, too.It is a common theme on the right that when people take collective action to defend their interests, they are the wrong kind of workers. It is only when workers lament without resisting that their voice is deemed “authentic”. Yet, the decline of radical struggles, the neutering of labour movement organisations and the abandonment of working-class issues by many sections of the left has allowed the most grotesque of reactionaries to shamelessly pose as friends of the downtrodden.“I’ve been sellin’ my soul, workin’ all day / Overtime hours for bullshit pay.” Anthony’s plaint rings down the decades. But as long as disaffection is shaped by a politics that abases working-class hopes, and is directed as much against the undeserving poor or the culturally different as against employers and politicians who seek to crush unions and impose austerity, rich men, whether north and south of Richmond, will remain in power.“The way they’re treated is a sin, / So I’m gonna get organised”, Sarah Ogan Gunning sang in her 1937 recording I’m Goin’ to Organize, Baby Mine. It is an attitude, and a defiance, as necessary today as it was almost a century ago. More

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    Private jets are awful for the climate. It’s time to tax the rich who fly in them | Edward J Markey

    The climate crisis is not in transit, it’s arrived at the gate. It’s in our skies, our water, and our land – with record-shattering heat waves, increasingly severe wildfires and flooding from superstorms and rising seas.We have no time for delays. Tackling this crisis and protecting frontline environmental justice communities will take all of us. And the tax-dodging ultra-wealthy need to stop fueling the problem and start supporting first-class solutions.That’s why, this July, I introduced the Fueling Alternative Transportation with a Carbon Aviation Tax (Fatcat) Act with Congresswoman Nydia Velázquez.Private air travel is the most energy-intensive form of transportation. For each passenger, private jets pollute as much as 14 times more than commercial flights and 50 times more than trains. Despite their sky-high emissions, private air travel is taxed considerably less than commercial air travel.My legislation changes that. Because the 1% should not get a free ride while destroying our environment.At the moment, billionaires and the ultra-wealthy are getting a bargain, paying less in taxes each year to fly private and contribute more pollution than millions of drivers combined on the roads below. Just one hour of flying private negates the climate benefits of driving an electric car for an entire year. That is unfair and it is unacceptable.For the sake of our environment, it is time to ground these fat cats and make them pay their fair share, so that we can invest in building the energy-efficient and clean public transportation that our economy and communities across the country desperately need. We cannot continue to ask frontline communities – disproportionately low-income, rural, immigrant, Black and brown Americans who are bearing the weight of the climate crisis – to subsidize billionaires jet-setting the globe.Our legislation would increase fuel taxes for private jet travel from the current $0.22 to nearly $2 a gallon – the equivalent of an estimated $200 a metric ton of a private jet’s CO2 emissions – and remove existing fuel tax exemptions for private flight activities that worsen the climate crisis, like oil or gas exploration.The revenue generated by the Fatcat Act would be transferred to the Airport and Airway Trust Fund and a newly created federal Clean Communities Trust Fund to support air monitoring for environmental justice communities and long-term investments in clean, affordable public transportation across the country – including passenger rail and bus routes near commercial airports.To fully tackle the climate crisis at the scale that is required, we need to ensure that those who are fueling this problem are held accountable for contributing to the solution. It is, of course, the same logic that should, but sadly does not, apply to our tax code.If Jeff Bezos, Elon Musk, Mark Zuckerberg, and countless Wall Street hedge fund managers want to fly private jets, the least they can do is pay their fair share in taxes to compensate for the damage to our environment and the wear on our infrastructure. It’s unconscionable that they be allowed to continue to pay pennies on the dollar to pollute our environment as Americans suffer through the hottest days in an estimated 125,000 years. Everyday Americans should not have to pay for their excess.And let’s be clear: this is an issue of economic and environmental justice. The wealthiest 1% globally are responsible for more than twice as much carbon dioxide pollution as the bottom 50%. But the burden of that pollution gets passed along to people already struggling.A billionaire who takes to the skies in a private jet isn’t going to feel the hardship of paying a sky-high air conditioning or electric bill. The ultra-wealthy who own their own airplanes aren’t going to feel the hardship of breathing dirty air.We are approaching a dangerous tipping point in our battle against the climate crisis. This summer’s brutal weather is just a preview of what is to come. We all need to step up to do our part to address this crisis. Especially jet-setting billionaires.
    Edward J Markey is a US senator from Massachusetts More

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    We bailed out the banks but we’re not prepared to bail out the planet

    Like many other politicians, Joe Biden talks a good game about the need to tackle global heating. Climate change is an “existential threat”, the US president said last week, as America sizzled amid record-breaking temperatures.Biden had to do something in response to what António Guterres, the UN secretary general, described as the boiling of the planet. The White House announced a series of measures – such as improved access to drinking water and planting more trees – in response to what has been the hottest month on record.To Biden’s critics, this is fiddling while Rome burns. They say he should be declaring a climate emergency, which would allow him to block new fossil fuel projects without congressional approval. As it is, Biden has showed a marked reluctance to take this step. There are clearly limits to what the US government is prepared to do to counter this “existential threat”.It is a similar picture in the UK, where the Conservative party’s surprise victory in the Uxbridge and South Ruislip byelection was in large part due to the plans by London’s Labour mayor, Sadiq Khan, to expand the ultra-low emission zone (Ulez) to the capital’s outer boroughs.Put simply, the Ulez seeks to improve London’s air quality by placing a charge on the use of older petrol and diesel vehicles, which tend to be not just the most polluting but also the most likely to be owned by poorer households already struggling with Britain’s cost of living crisis.The byelection defeat clearly rattled the Labour leader, Sir Keir Starmer. “We are doing something very wrong if policies put forward by the Labour party end up on each and every Tory leaflet,” he said. “We’ve got to face up to that and learn the lessons.”In their different ways, recent events in the US and the UK show just how difficult it will be to put the global economy on a saner and more sustainable course.Problem number one is that politicians struggle to think beyond the next election. Biden is running for re-election next year, and Starmer wants to end a run of four successive defeats for Labour. The temptation to put off tough decisions to another day is powerful.That’s because of problem number two: the lack of consensus about what needs to be done and over what time period change needs to happen. What’s needed is for Democrats and Republicans in the US and Labour and the Conservatives in the UK to announce that they are jointly signed up to a course of action that will extend well beyond one presidential or parliamentary term. The failure to forge a bi-partisan approach provides an incentive for parties to look for short-term political gain, even when doing so risks longer-term harm.There’s a reason for that, namely that some of the policies required have upfront costs that make them unpopular for those that find them hard to bear. Telling a key worker who can only afford an ageing diesel car that they will have to pay £12.50 a day to drive to their job is never going to be easy, especially in a period when living standards are being squeezed. There is no getting away from the fact that the Ulez expansion is a regressive tax and, as Khan has found, changes that make hard-up people even worse off breed anger, and that anger will inevitably find a political outlet.So problem number three is that there are a lot of poor people in the UK and the US. And problem number four is that not nearly enough is being done to help these people make the green transition. For that to happen, there would need not just to be a recognition of the link between global heating and grotesque levels of inequality, but a willingness to do something about it.In the developed west, this means using the financial firepower of the state to reduce the number of losers from the green transition. In developing countries, it means transfers of both money and technical knowhow, so that countries that need growth as part of their anti-poverty programmes minimise the use of fossil fuels. Meeting the “existential” threat that Biden talks about requires action not just in the UK or the US but in China, India and other emerging countries, too. Climate action on a global scale will be costly.skip past newsletter promotionafter newsletter promotionThat brings us to problem number five. The change from one economic paradigm to another – the creative destruction that the political economist Joseph Schumpeter talked about – is hard because it requires those who have invested in existing industries to recognise that the game is up. This transition can be prolonged if those wedded to the status quo have invested huge sums and wield enormous power, as is the case with the fossil fuel industry.The solution to these problems lies ultimately in the hands of politicians such as Biden, because they alone have the power to remove barriers to change.As the rapid responses to the global financial crisis of 2007-09 and the Covid pandemic proved, governments can act speedily, collectively and decisively if the crisis is deemed big enough. When the banks were facing their existential crisis in 2008, money was created to bail them out and prevent a second Great Depression. In 2020, economies were effectively put on a war footing.Should the same approach be adopted in the fight against climate change? Yes. Is there any sign of this happening? Not on the scale required. Effectively, this is like the 1930s, when there was resistance to meeting the threat of fascism. Then, as now, what was needed was rapid rearmament. Then, as now, what we’re getting is a failure to do what needs to be done. More

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    We last raised the US federal minimum wage 14 years ago. This is unacceptable | Rev William J Barber and Rev A Kazimir Brown

    Researchers at the University of California-Riverside recently released a study showing poverty is the fourth leading cause of death nationwide. Poverty kills more people than homicide, respiratory disease, gun violence and opioid overdoses, the study showed.It’s stress, it’s starvation, it’s disease. And it’s all unnecessary.Policymakers have many tools to counter the death by poverty that is ravaging America. But they have neglected the simplest one in their toolkit for far too long: raising the federal minimum wage. Monday marks 14 years since the last federal minimum wage increase, the longest period America’s lowest-paid workers have gone without a raise since the minimum wage was first put into effect in 1938.The minimum wage has been stuck at an unlivable $7.25 an hour under three presidents. Adjusting for inflation, today’s minimum wage is now worth less than at any point since 1956. Nearly a third of the workforce, or 52 million people, earn less than $15 an hour, including 47% of Black workers, 46% of Hispanic workers, 20% of Asian American and Indigenous workers, 40% of working women and 50% of working women of color. Raising the minimum wage to even $15 an hour would lift 7.6 million people – many of whom are women, immigrants, Black, Latinx or parents – out of poverty and give more than 50 million people a raise.According to the Economic Policy Institute, a worker paid the $7.25 federal minimum wage earns 27.4% less in inflation-adjusted terms than what their counterpart was paid in July 2009 when the minimum wage was last increased, and 40.2% less than a minimum wage worker in February 1968, the historical high point of the minimum wage’s value.Courageous workers in the Fight for $15 and the union movement have pushed 14 states and the District of Columbia to adopt $15 minimum wage laws. We’re proud to have marched with, prayed with, and even gotten arrested with these workers as they’ve demanded living wages and a union. But the sad fact is that 20 states remain stuck at the federal minimum of $7.25 – and working people in those states, the majority of which are in the south, need help now. That’s why, earlier this year, we hit the road with Bernie Sanders and stood alongside workers across the south to demand living wages.These workers are 46% more likely to be paid less than $15 than workers in the 30-plus states with minimums higher than $7.25, according to the Economic Policy Institute. And, according to EPI, there isn’t a place in the country where even a single adult without children can get by on less than $15 an hour. There’s no city, county or state where a full-time minimum-wage worker can afford a two-bedroom rental, a report from the National Low Income Housing Coalition showed.Yet instead of raising pay for fast-food cooks, home care aides, warehouse workers, retail clerks and others, politicians push a false moral narrative of religious nationalism, trying to trick us into believing that poverty is a moral failing on the individual and that the real moral issues of our time are standing against LGBTQ+ people and a woman’s right to choose while defending tax cuts and gun rights.We will not be duped: the real moral question for our country is where we stand in relation to the poor. Instead of pushing culture wars and partisanship, lawmakers should focus on the 800 people dying each day from poverty in the wealthiest nation on earth. Our politicians have failed to act, and leaders who stand silent in the face of these injustices are guilty of policy murder.Indeed, our demand for a living wage is the moral issue politicians should be focused on. Isaiah 10 says, “Woe unto those who legislate evil and rob the poor of their rights, and make women and children their prey.” And President Franklin D Roosevelt adopted the moral argument of the Social Gospel when he declared that “no business which depends for its existence on paying less than living wages to its workers has any right to continue in this country.” It is a moral travesty that as a nation we continue to expand the military budget in surplus, but refuse to guarantee basic human rights like healthcare and living wages.We are putting our nation’s leaders on notice, across party lines, that we need living wages now. If they don’t act, we’ll vote them out. Poor and low-wealth people make up nearly 40% of the electorate and have the ability to decide elections. We are calling for a Third Reconstruction to lift our nation’s 140 million poor and low-wealth people from the bottom up. This includes raising the outdated minimum wage to a living wage as well as updating the also-obsolete official poverty measure to reflect what it takes to secure a decent standard of living today.America has gone 14 years without a raise. It’s literally killing us. And it’s time for it to change.
    The Rev D William J Barber II is founding director of the Center for Public Theology and Public Policy at Yale Divinity School
    The Rev A Kazimir Brown is executive director of Repairers of the Breach More