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    Will Americans Even Notice an Improving Economy?

    Imagine that your picture of the U.S. economy came entirely from headlines and cable news chyrons. Would you know that real gross domestic product has risen 6.7 percent under President Biden, that America gained 4.5 million jobs in 2022 and that inflation over the past six months, which was indeed very high last winter, was less than 2 percent at an annual rate?This isn’t a hypothetical question. Most people don’t read long-form, data-driven essays on the economic outlook. Their sense of the economy is more likely to be shaped by snippets they read or hear.And there is a yawning gulf between public perceptions and economic reality. Recent economic data has been positive all around. Yet a plurality of adults believes that we’re in a recession. In an AP-NORC survey, three-quarters of Americans described the economy as “poor,” with only 25 percent saying it was “good.”You might be tempted to say, never mind the data, people know what’s happening to the economy from personal experience. But there’s a big disconnect on that front, too.Even with 75 percent of the public saying the economy is poor, a majority of Americans rate their own financial situation positively. On average, people seem to be saying that they’re doing reasonably well but that very bad things are happening to somebody else.This “I’m OK, you aren’t” syndrome was especially clear in a Federal Reserve survey carried out in late 2021; we won’t have the 2022 results until later this year, but I expect them to look similar. According to the 2021 survey, 78 percent of households said they were doing “at least OK” financially, a record high; only 24 percent said the national economy was “good or excellent,” a record low. Assessments of local economies, for which people have some personal knowledge, were in between.Now, this isn’t the first time I’ve written about the disconnect between economic perceptions and reality. In the past, however, I got a lot of pushback from people insisting that the public was in deep shock over the resurgence of inflation after years of more or less stable prices.At this point, however, that’s becoming a harder position to sustain. Since last summer prices of some goods, notably of eggs, have soared, but other prices, notably of gasoline, have plunged. As I said, the overall inflation rate in the second half of 2022 was around 2 percent, which has been normal for the past few decades, while the unemployment rate in December, at 3.5 percent, was at a 50-year low. Oh, and inflation-adjusted wages, which fell in the face of supply-chain problems and the Ukraine shock, have been rising again.So what explains the public’s sour view of what is objectively a pretty good economy?Partisanship is clearly part of the story. One striking aspect of that AP-NORC survey was that Democrats and Republicans weren’t that different in their assessments of their personal financial situation; majorities of both groups rated their condition as good. But 90 percent of Republicans said the national economy was poor. A longer view, from the Michigan Survey of Consumers, finds Republicans rating the current economy worse than they did in June 1980, when unemployment was above 7 percent and inflation was 14 percent.What about media coverage? Some of my colleagues get upset about any suggestion that economic reporting has had a negativity bias that affects public perceptions. Yet there’s actually hard evidence to that effect. The Michigan Survey asks respondents about what news they’ve heard about specific business conditions; all though 2022 — as the economy added 4.5 million jobs — more people reported hearing negative than positive news about employment.All of which raises an obviously important political question: Will Americans even notice an improving economy?To be fair, we don’t know whether the economic news will stay this good. Although many forecasters have backed off predictions of imminent recession, experts I talk to consider a growth hiccup over the next quarter or two to be likely. There’s also a raging debate among economists over whether we’ll need a sharp rise in unemployment to keep inflation low.But let’s assume that we get past any near-term wobbles and enter 2024 with both unemployment and inflation low. How many Americans will hear the good news?At this point we have to assume that as long as a Democrat sits in the White House, Fox News and Republicans in general will describe the economy as a disaster area whatever the reality. What’s less clear is how mainstream media will cover the economy, and what voters in general will perceive.Reports say that Biden’s political team plans to “lean into the economy” for the 2024 election. Indeed, while nothing is certain in economics (or life), Biden will most likely be able to run on a record of solid growth in incomes and jobs, with the inflation surge of 2021-22 receding in the rearview mirror.But we can safely predict that many people, not all of them Republican partisans, will insist, no matter what, that his record was a disaster. And I, at least, have no idea what voters will end up believing.The Times is committed to publishing a diversity of letters to the editor. We’d like to hear what you think about this or any of our articles. Here are some tips. And here’s our email: letters@nytimes.com.Follow The New York Times Opinion section on Facebook, Twitter (@NYTopinion) and Instagram. More

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    Britain’s Cautionary Tale of Self-Destruction

    In December, as many as 500 patients per week were dying in Britain because of E.R. waits, according to the Royal College of Emergency Medicine, a figure rivaling (and perhaps surpassing) the death toll from Covid-19. On average, English ambulances were taking an hour and a half to respond to stroke and heart-attack calls, compared with a target time of 18 minutes; nationwide, 10 times as many patients spent more than four hours waiting in emergency rooms as did in 2011. The waiting list for scheduled treatments recently passed seven million — more than 10 percent of the country — prompting nurses to strike. The National Health Service has been in crisis for years, but over the holidays, as wait times spiked, the crisis moved to the very center of a narrative of national decline.Post-Covid, the geopolitical order has been thrown into tumult. At the beginning of the pandemic, commentators wondered about the fate of the United States, its indifferent political leadership and its apparently diminished “state capacity.” Lately, they have focused more on the sudden weakness of China: its population in decline, its economy struggling more than it has in decades, its “zero Covid” reversal a sign of both political weakness and political overreach, depending on whom you ask.But the descent of Britain is in many ways more dramatic. By the end of next year, the average British family will be less well off than the average Slovenian one, according to a recent analysis by John Burn-Murdoch at The Financial Times; by the end of this decade, the average British family will have a lower standard of living than the average Polish one.On the campaign trail and in office, promising a new prosperity, Boris Johnson used to talk incessantly about “leveling up.” But the last dozen years of uninterrupted Tory rule have produced, in economic terms, something much more like a national flatlining. In a 2020 academic analysis by Nicholas Crafts and Terence C. Mills, recently publicized by the economic historian Adam Tooze, the two economists asked whether the ongoing slowdown in British productivity was unprecedented. Their answer: not quite, but that it was certainly the worst in the last 250 years, since the very beginning of the Industrial Revolution. Which is to say: To find a fitting analogue to the British economic experience of the last decade, you have to reach back to a time before the arrival of any significant growth at all, to a period governed much more by Malthusianism, subsistence-level poverty and a nearly flat economic future. By all accounts, things have gotten worse since their paper was published. According to “Stagnation Nation,” a recent report by a think tank, there are eight million young Brits in the work force today who have not experienced sustained wage growth at all.Over the past several decades, the China boom and then the world’s populist turn have upended one of the basic promises of post-Cold War geopolitics: that free trade would not just bring predictable prosperity but also draw countries into closer political consensus around something like Anglo-American market liberalism. The experience of Britain over the same period suggests another fly in the end-of-history ointment, undermining a separate supposition of that era, which lives on in zombie form in ours: that convergence meant that rich and well-​governed countries would stay that way.For a few weeks last fall, as Liz Truss failed to survive longer as head of government than the shelf life of a head of lettuce, I found myself wondering how a country that had long seen itself — and to some significant degree been seen by the rest of the world — as a very beacon of good governance had become so seemingly ungovernable. It was of course not that long ago that American liberals looked with envy at the British system — admiring the speed of national elections, and the way that new governing coalitions always seemed able to get things done.Post-Brexit, both the outlook for Britain and the quality of its politics look very different, as everyone knows. But focusing on a single “Leave” vote risks confusing that one abrupt outburst of xenophobic populism with what in fact is a long-term story of manufactured decline. As Burn-Murdoch demonstrates in another in his series of data-rich analyses of the British plight, the country’s obvious struggles have a very obvious central cause: austerity. In the aftermath of the 2008 global financial crisis, and in the name of rebalancing budgets, the Tory-led government set about cutting annual public spending, as a proportion of G.D.P., to 39 percent from 46 percent. The cuts were far larger and more consistent than nearly all of Britain’s peer countries managed to enact; spending on new physical and digital health infrastructure, for instance, fell by half over the decade. In the United States, political reversals and partisan hypocrisy put a check on deep austerity; in Britain, the party making the cuts has stayed steadily in power for 12 years.The consequences have been remarkable: a very different Britain from the one that reached the turn of the millennium as Tony Blair’s “Cool Britannia.” Real wages have actually declined, on average, over the last 15 years, making America’s wage stagnation over the same period seem appealing by comparison. As the political economist William Davies has written, the private sector is also behaving shortsightedly, skimping on long-term investments and extracting profits from financial speculation instead: “To put it bluntly, Britain’s capitalist class has effectively given up on the future.” Even the right-wing Daily Telegraph is now lamenting that England is “becoming a poor country.”Of course, trends aside, in absolute terms Britain remains a wealthy place: the sixth-largest economy in the world, though its G.D.P. is now smaller than that of India, its former colony. And while the deluded promises of Brexit boosters obviously haven’t come to pass, neither have the bleakest projections: food shortages, crippling labor crunches or economic chaos.Instead, there has been a slow, sighing decay — one that makes contemporary Britain a revealing case study in the way we talk and think about the fates of nations and the shape of contemporary history. Optimists like to point to global graphs of long-term progress, but if the political experience of the last decade has taught us anything, it is that whether the world as a whole is richer than it was 50 years ago matters much less to the people on it today than who got those gains, and how they compare with expectations. Worldwide child mortality statistics are indeed encouraging, as are measures of global poverty. But it’s cold comfort to point out to an American despairing over Covid-era life expectancy declines that, in fact, a child born today can still expect to live longer than one born in 1995, for instance, or to tell a Brit worrying over his or her economic prospects that added prosperity is likely to come eventually — at the same level enjoyed by economies in the former Eastern Bloc.Can Britain even stomach such a comparison? The wealthy West has long regarded development as a race that has already and definitively been won, with suspense remaining primarily about how quickly and how fully the rest of the world might catch up. Rich countries could stumble, the triumphalist narrative went, but even the worst-case scenarios would look something like Japan — a rich country that stalled out and stubbornly stopped growing. But Japan is an economic utopia compared with Argentina, among the richest countries of the world a century ago, or Italy, which has tripped its way into instability over the last few decades. Britain has long since formally relinquished its dreams of world domination, but the implied bargain of imperial retreat was something like a tenured chair at the table of global elders. As it turns out, things can fall apart in the metropole too. Over two centuries, a tiny island nation made itself an empire and a capitalist fable, essentially inventing economic growth and then, powered by it, swallowing half the world. Over just two decades now, it has remade itself as a cautionary tale.David Wallace-Wells (@dwallacewells), a writer for Opinion and a columnist for The New York Times Magazine, is the author of “The Uninhabitable Earth.” More

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    Kevin McCarthy’s Business Ties Complicate His Rise to Power

    To land the House speaker position, the California Republican will have to win over opponents who question his ties to Silicon Valley and his commitment to right wing causes.The House, divided.Michael Reynolds/EPA, via ShutterstockKevin McCarthy, Inc.Representative Kevin McCarthy, Republican of California, is still working on landing the House speaker gig after six failed attempts. It’s the first such House floor showdown in a century, and business is at the heart of his woes.Mr. McCarthy’s critics say he’s too friendly with Big Tech. The ultraconservatives who have stymied his rise to power list a number of big objections with Mr. McCarthy. They say that he isn’t sufficiently committed to right-wing causes and that he hasn’t pushed back enough against perceived anti-conservative bias on social media. Yet the would-be speaker published a policy proposal over the summer to “Stop the Bias and Check Big Tech” if Republicans took control of the House.Mr. McCarthy’s messaging has not convinced hard-line party members. His hot-and-cold ties to Silicon Valley haven’t helped his standing either. Jeff Miller, a political adviser to Mr. McCarthy, also represents Apple and Amazon, and two former staff members are now Big Tech lobbyists. Meanwhile, Mr. McCarthy has benefited from tens of thousands of dollars in donations from tech companies and executives.The Republican leader has also alienated onetime corporate allies. Lobbyists once bet big on Mr. McCarthy, but relations have soured somewhat after he embraced former President Donald Trump’s antagonistic approach to corporations with perceived ties to the left.The Chamber of Commerce endorsed 23 Democrats for the House in 2020 and 15 won. That put the speakership out of reach for Mr. McCarthy at that time and he’s reportedly been sore since. The Republican pushed for Suzanne Clark, the Chamber’s C.E.O., to be removed but the organization was unmoved, and issued a statement in support of her.Even before Mr. McCarthy’s failure this week, lobbyists were giving up on him and Washington insiders — including Paul Ryan, the former Republican House speaker now at the executive advisory firm Teneo — were telling executives to stay out of the political fray.Meanwhile, the business of the government is stuck. Until Republicans resolve their internal conflicts, the House is at a standstill. Members have not been sworn in, administrative tasks and constituent services have been delayed and legislative work is on the back burner. Mr. McCarthy and his allies held talks with the holdouts last night to find a resolution. Democrats could step in to help (members of both parties have apparently discussed it), but that doesn’t appear to be on the table right now.Mr. McCarthy has vowed to continue for as long as it takes. In 1923, it took nine ballots to elect a speaker. The House is scheduled to meet again at noon.HERE’S WHAT’S HAPPENING The Justice Department moves to seize Robinhood stock tied to Sam Bankman-Fried. Federal prosecutors argued on Wednesday that the $465 million worth of shares in the online brokerage weren’t part of the FTX bankruptcy estate. Bankman-Fried bought the shares through an investment vehicle with money borrowed from Alameda Research, FTX’s trading affiliate.Walgreens will sell abortion pills. The pharmacy giant said it would dispense mifepristone, becoming the first national chain to do so after the F.D.A. announced new rules for dispensing the drug. CVS and Rite Aid said they were still reviewing the agency’s new policy.China defends its handling of the Covid outbreak. Facing criticism from the World Health Organization and President Biden over the accuracy of its coronavirus tally, Beijing fired back on Thursday, saying the situation was “controllable.” It also plans to reopen its border with Hong Kong on Sunday after a three-year closure.The man behind the college admissions scandal is sentenced. Rick Singer, whom prosecutors accused of orchestrating a $25 million cheating scheme that involved actors, business executives, doctors and more, must serve three and a half years in prison. Singer, who had become an informant, received the longest sentence of anyone tied to the scandal.CES kicks off today. Enormous crowds are expected to return to the tech trade show in Las Vegas this year, after the pandemic clamped down on in-person attendance. Expect plenty of announcements about new televisions, smart-home gadgets, electric cars and more.The bleeding continues at Big Tech Amazon said on Wednesday that it would drastically expand its planned layoffs to a staggering 18,000 jobs as it seeks to rein in costs. Coupled with Salesforce’s plans to lay off about 8,000 employees, it’s the latest sign that tech giants are still grappling with the consequences of overhiring during the pandemic boom.Amazon’s cuts amount to around 6 percent of its corporate work force and will be focused on human resources and what the e-commerce giant calls its Stores division: its main online site, its field operations and warehouses, its physical stores and other consumer teams. (Hourly warehouse workers aren’t part of the tally.) That’s up from the roughly 10,000 the company had been weighing earlier.Salesforce is also laying off 10 percent of its employees and cutting back on office space. The move comes after a series of shake-ups at the business software giant, including the announced departures of Bret Taylor, its co-C.E.O. (reportedly after strains in his relationship with Marc Benioff, the company’s co-founder) and Stewart Butterfield, the C.E.O. of Slack, the messaging app Salesforce bought for nearly $28 billion.It’s a notable retrenchment for Salesforce, whose reputation over the past decade has become one of ever-growing ambition: The company is the largest private employer in San Francisco, and its flagship office tower is the city’s tallest.Both rounds of layoffs arose out of overexpansion. Amazon more than doubled its work force during the pandemic, to 1.5 million, as it became an indispensable seller to locked-down households. Salesforce nearly doubled its head count over the past three years, to 80,000 in October.Those hiring sprees have since run into a slowing global economy, with Amazon having warned in the fall that it could see its worst growth rate since 2001. “We hired too many people leading into this economic downturn we’re now facing, and I take responsibility for that,” Benioff wrote in a letter to employees.Amazon and Salesforce aren’t alone: Meta recently laid off 13 percent of its work force, while Snap and Twitter have also resorted to huge job cuts. Overall, the tech industry laid off over 153,000 workers last year, according to Layoffs.fyi. Things may not get better this year, with analysts cautioning that tech companies’ customers may further clamp down on spending, potentially leading to yet more cost cuts.“The parallels with Russia and Ukraine are hard to ignore. We must not make the same mistakes with Xi Jinping that we did with Vladimir Putin.” — Anders Fogh Rasmussen, a former secretary general of NATO, urged a robust and unified response to deter China from attacking Taiwan. His comments, made during a visit to Taipei, highlighted worries in Europe over China’s growing assertiveness in Asia.The Fed’s big challenge: exuberant marketsInvestors got the post-Christmas “Santa Claus rally” they were hoping for, a buying spree that was fueled in part by slumping energy prices. But the big cloud hanging over markets remains: the prospect that central banks will be emboldened to tame inflation with more interest rate increases.Fed officials gave investors an unambiguous warning on Wednesday: Don’t start pricing in a dovish pivot anytime soon. Many on Wall Street are banking on the U.S. central bank to end its policy of jumbo rate increases in the first half of 2023, and to begin cutting by year-end.But the Fed sees any pivot prediction as misguided, warning that such thinking could complicate its efforts to bring prices under control. Minutes from a December Fed meeting released on Wednesday, did not mince its words. “No participants anticipated that it would be appropriate” to cut rates.As the Times’s Jeanna Smialek reported, policymakers are concerned that markets might misinterpret any decision to slow the pace of rate moves in the near term as a sign that the Fed believed it was making enough progress in bringing inflation closer to its 2 percent target. (The I.M.F. has also weighed in, saying that it doesn’t believe the U.S. has “turned the corner on inflation yet” and that the Fed should “stay the course.”)The markets still don’t seem to be getting the message. “Right now data signals are mixed — like an ink blot, investors can see what they want,” Elsa Lignos, RBC Capital Market’s global head of FX Strategy, said in a note to clients this morning. She pointed out that manufacturing prices were in decline, but that job vacancies remained elevated, suggesting wages could continue creeping higher.A late-afternoon surge on Wednesday helped the S&P 500 and Nasdaq close higher. Between the Dec. 27 open and Wednesday’s close, the S&P 500 rose 0.8 percent, capping off the seventh consecutive annual Santa rally, measured by the stock market’s performance over the seven trading days that follow Christmas. The most bullish on Wall Street see such rallies as a sign that investors will keep buying well into the new year.Investors and Fed officials will be closely watching Friday’s jobs report. The Fed is concerned that the labor market is still too tight, belying the recent headline-grabbing layoffs at tech giants. A jobs report showing big gains in wages and hiring could force the Fed to remain locked in to its “higher for longer” rates policy, adding to additional market volatility.THE SPEED READ DealsShares in GE HealthCare Technologies rose 8 percent in their debut on Wednesday, after being spun off from General Electric. (Bloomberg)Western Digital has reportedly resumed talks to buy Kioxia, a Japanese memory chip maker. (Bloomberg)A unit of Tokyo Gas is said to be in advanced talks to buy the U.S. natural gas producer Rockcliff Energy for about $4.6 billion. (Reuters)Fanatics reportedly plans to divest its 60 percent stake in Candy Digital, a sports N.F.T. company. (CNBC)PolicyEuropean regulators fined Meta 390 million euros after finding it had illegally forced users to effectively accept personalized ads. (NYT)The S.E.C. has objected to Binance.US’s $1 billion bid to purchase the bankrupt crypto lender Voyager Digital. (Reuters)Silvergate, a bank, was forced to sell assets at a steep loss to cover $8.1 billion in customer withdrawals after the collapse in November of FTX. (WSJ)Best of the restA self-described Tesla fan filed a Tesla trademark for a boat and jet without the company’s knowledge. (Bloomberg)Amazon, SiriusXM and Spotify are cutting back on their spending on new podcasts. (Bloomberg)The stars of the 1968 film “Romeo and Juliet” sued the movie’s distributor, Paramount, for $500 million over being made to film a nude scene while they were teens. (NYT)A Princeton student said he had created a program to detect whether an essay was written by the A.I. chatbot ChatGPT. Meanwhile, New York City’s education department banned the use of ChatGPT on some city devices and internet networks. (Insider, Chalkbeat New York)We’d like your feedback! Please email thoughts and suggestions to dealbook@nytimes.com. More

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    Gretchen Whitmer Rejected False Choices. All Democrats Should.

    For years, the so-called Blue Wall states — Michigan, Pennsylvania and Wisconsin — have been not just politically but also emotionally important for Democrats. With the party poised to enact a new primary lineup that includes Michigan in an early slot, the state has grown even more important for Democrats.In many ways, Michigan offers a microcosm of American politics. It includes a diverse population of over 10 million people and a mix of big, medium and smaller urban areas, along with diverse suburbs and rural areas.For Democrats, much of the debate about running in and winning big northern industrial states is that we have to choose a style of campaign. Either we talk to blue-collar voters about issues like economics and manufacturing, or we talk to suburban women about abortion. Either we use progressive issues to turn out our base, or we take moderate positions on issues to persuade people in the middle.There is a model for running an effective campaign in Michigan and states like it — and it involves rejecting many of these false choices.Gretchen Whitmer illustrated that model in Michigan this year. With her midterm victory, she has now had two decisive general-election wins in a critical Blue Wall state. Last month, she won by 10.6 points (a margin bested by only two Democratic presidential candidates in the last 50 years, Barack Obama in 2008 and Bill Clinton in 1996).She ran on economics and abortion, increased Democratic turnout and persuaded swing voters, all while connecting with the party’s largest base: Black voters. She embodied the way smart campaigns in Pennsylvania, Wisconsin and around the country operated this cycle, and she gave a blueprint for Democrats in 2024.The first lesson of Ms. Whitmer’s campaign is that economic good news and development — especially building things — really make a difference. Democrats should run on American manufacturing: Whether it was a new semiconductor plant (to help ease the chip shortage facing the auto industry) or generational-level investments from G.M. in electric-vehicle battery plants (to make sure the critical supply chains for electric cars will be based in Michigan, not China, where many E.V. batteries are currently built), Ms. Whitmer fought to bring them to Michigan.In in multiple TV ads, she told voters, “I can’t solve the inflation problem, but we’re doing things — right now — to help.” She listed tangible benefits that she proposed or got done, like more affordable community college, insurance refunds and tax cuts for seniors. She passed four balanced, bipartisan budgets with no tax increases, and she let voters know about that.A lot of Democrats talked about economics across the country, but few did so as consistently and effectively as Ms. Whitmer. And it wasn’t just talk: When businesses opened, she was often there to celebrate them.This was paired with a pocketbook attack. Her opponent, Tudor Dixon, took millions of dollars from the wildly unpopular (in Michigan) billionaire Betsy DeVos and her family. For months her campaign highlighted Ms. Dixon’s connections to Ms. DeVos and how Ms. Dixon’s tax plan would benefit Ms. DeVos and hurt the middle class — working-class tax hikes, cuts to schools and the like. Ms. Whitmer also highlighted abortion rights as a vote-deciding issue for swing voters. Again, this was not just talk. Through a ballot initiative, Michigan voters faced the decision on whether to place abortion protections in the state Constitution. Voters approved changing the state Constitution with strong support (57 percent).Months before the Dobbs decision overturned Roe v. Wade and could have effectively banned abortion in Michigan (because of a dormant law from the 1930s), Ms. Whitmer sued and got courts to block enforcement of that law. No doubt the issue helped Michigan Democrats and progressives to catalyze turnout. Estimates from the U.S. Elections Project show overall turnout in 2022 was down about 6 percent from the 2018 midterm, but in Michigan, turnout was up nearly 5 percent.Ms. Whitmer also developed a deep connection with Black voters well before she picked as her running mate and governing partner the state’s first Black lieutenant governor, Garlin Gilchrist. After winning Black voters decisively with high turnout in 2018, she deepened that connection. The “Big Gretch” song (“We ain’t even about to stress/we got Big Gretch”) and memes that came out of Black Michigan spoke to a deep appreciation Black voters had for her decisiveness in the pandemic to keep people safe.This was on top of a lot of other work to help Black voters, things like bringing the first new auto plant to Detroit in 30 years and making sure Detroiters had a first crack at the plant’s jobs.This did not come at the expense of talking to white voters: She won Macomb County, ground zero for voters who cast ballots for Barack Obama, then switched to Donald Trump, by about 60 percent more in 2022 from 2018.What Ms. Whitmer has done in Michigan can be done by Democrats across the country. We can talk about economics and abortion, we can invest in turnout and persuasion, and we can strengthen our appeal to voters of color while winning over white voters.Brian Stryker (@BrianStryker) is a partner at Impact Research and a strategist for Gretchen Whitmer, Tim Ryan and Mandela Barnes, among others.The Times is committed to publishing a diversity of letters to the editor. We’d like to hear what you think about this or any of our articles. Here are some tips. And here’s our email: letters@nytimes.com.Follow The New York Times Opinion section on Facebook, Twitter (@NYTopinion) and Instagram. More

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    The Prisoner Exchange That Freed Brittney Griner

    More from our inbox:Selective Prosecution of TrumpTwo Views of BidenDiversity in Tech JobsA ‘Friend’ for Solo EldersA still from a video distributed by Russian state media shows Brittney Griner, in red, and Viktor Bout, holding a yellow envelope, on the tarmac at the Abu Dhabi International Airport on Thursday.To the Editor: Re “Griner Is Freed; Leaves Russia After a Trade” (front page, Dec. 9):On Thursday, the American basketball star Brittney Griner was freed from a Russian prison. This is indisputably joyous news, but it is bittersweet. To secure her release, President Biden had to agree to release a notorious Russian arms dealer whose weapon sales have supported death and misery around the world.It is great news, of course, for Ms. Griner and her family. Sadly, Paul Whelan, another American, remains in Russian custody, where he has been illegitimately detained for the past four years. The great news about Ms. Griner is blemished by the continued imprisonment of Mr. Whelan.President Biden has shown perseverance and dedication to securing the freedom of unjustly imprisoned Americans. But let us not forget that these deals come at a cost. Freeing Brittney Griner required that the U.S. release a soulless man who might now resume his arms dealing.Geopolitics sometimes requires painful compromise, and this moment clearly illustrates this point.Ken DerowSwarthmore, Pa.To the Editor:The exchange of a basketball player for a convicted arms dealer, leaving a former U.S. Marine in Russian custody, is a disgrace, patently wrong, unbalanced by any sense of equity and an affront to American values. President Biden should be ashamed.Richard M. FrauenglassHuntington, N.Y.To the Editor:While it is to be celebrated that Brittney Griner is coming home, my heart breaks for the family of Paul Whelan and for the families of other unjustly detained Americans all over the world.Ms. Griner’s release underscores the power of celebrity to drive more vigorous action. No doubt the advocacy of LeBron James and Stephen Curry, for example, on behalf of Ms. Griner played a significant role in pressuring the White House to get a deal done to bring her home, while Mr. Whelan and countless others continue to languish behind bars.Mark GodesChelsea, Mass.To the Editor:Viktor Bout, the Russian arms dealer, would have been out in seven years, back in business (maybe). So should we have let Brittney Griner stay in prison?Good for President Biden and our persistent officials. I travel internationally to dangerous places, and it’s good to know the U.S. has my back.Norbert HirschhornMinneapolisSelective Prosecution of TrumpProsecutors told jurors that Donald J. Trump personally paid for some perks and approved a crucial aspect of the scheme. Scott McIntyre for The New York TimesTo the Editor: Re “In a Blow to Trump, a Jury Finds His Business Guilty of Tax Fraud” (front page, Dec. 7):It is possible to view Donald Trump as deserving of accountability, retribution, even loathing, while recognizing that this tax fraud prosecution was selective.The money at stake is not worth the costs to pursue the case, and the nature of the crime seems unexceptional, especially in a private business. It is not a case prosecutors would ordinarily pursue.It may be noble in a larger or proportionate sense, but that can be respected while questioning the claims of prosecutors that it shows how everyone is equally subject to the law.Edward AbahoonieSparkill, N.Y.Two Views of Biden Doug Mills/The New York TimesTo the Editor: The other day I discovered a book by Joe Biden from 2017, “Promise Me, Dad: A Year of Hope, Hardship and Purpose,” which focuses on his late son Beau’s battle with brain cancer. I was moved to discover that the book reveals not just his memories of his beloved son, but also his role as a husband, devoted father and seasoned politician familiar with the vicissitudes of dealing with bigwigs, foreign and domestic.What strikes one in reading Mr. Biden’s own heartfelt words is the sheer faith he has in the human ties he cherishes. Despite the tragedies he has suffered, he has held fast to his best qualities — compassion and faith.In short, he is a man of great trustworthiness, patience and forbearance, whose comparison to any probable rival in 2024 of either party clearly renders him, yet again, the best candidate for president.Richard OrlandoWestmount, QuebecTo the Editor:Re “America Deserves Better Than Donald Trump” (editorial, Nov. 20):Your editorial should have been titled “America Deserves Better Than Joe Biden.”The Biden administration has wrecked our economy with out-of-control inflation and government spending, has allowed undocumented immigrants to flood our southern border, and has destroyed our credibility as an international leader with our disastrous withdrawal from Afghanistan.There has been a large rise in crime and lawlessness, and many of us feel that the current administration is using the Justice Department, the F.B.I. and intelligence agencies against its political enemies and those who do not support its far-left and green agenda.Yes, we deserve better! Because we are a country where the words “life, liberty and the pursuit of happiness” have real meaning to our citizens.Sam TaylorColorado SpringsDiversity in Tech JobsAnnalice Ni, 22, was disappointed when Meta laid her off from her job as a software engineer last month. Now she is using the opportunity to expand her career horizons.Jason Henry for The New York TimesTo the Editor: Re “Future in Big Tech Dims for Computing Students” (Business, Dec. 8):The article makes an important argument for students to seek jobs outside Big Tech, and look to start-ups and nontechnical industries that are hungry for fresh talent. However, it’s imperative for us to also address ways to support the most marginalized students, who are often left behind when the job market makes a significant shift.Today, only 26 percent of computer scientists are women, and only 8 percent are Black. Organizations like mine are working to correct this imbalance, but the onus remains on hiring managers to consider a wider range of qualified talent for technical roles.This could mean looking beyond Ivy League institutions and four-year universities, or placing less importance on technical interviews — which disproportionately benefit those with industry connections. Standards for computer science jobs should remain high, but we must be more nimble in how we measure a strong candidate.In moments of economic strain, we can’t forget that a diverse work force is critical for both equity and long-term success. All students, no matter their background, deserve access to the tech jobs they’ve worked so hard to secure.Tarika BarrettNew YorkThe writer is C.E.O. of Girls Who Code.A ‘Friend’ for Solo EldersJoan DelFattore, a retired English professor, objects to the perception that older people without immediate family are somehow needy.Karsten Moran for The New York TimesTo the Editor:A critical issue that wasn’t addressed in “Who Will Care for the Kinless Seniors?,” by Paula Span (The New Old Age, Dec. 6), is the absence of someone who could serve as a health care proxy in the event that a senior is not capable of making their own medical decision.There has been some research over the last several years about the increasing number of older people in that situation (sometimes called the “unbefriended”) and the programs that might provide a way to identify existing proxies or to develop new relationships in part to serve that function.Community organizations, together with the medical community, need to create joint initiatives, funded by the public and private sectors, to enable these seniors to have a “friend.”Alice YakerNew YorkThe writer served as a health care consultant on this issue with the New York Legal Assistance Group. 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    A Times Square Hotel Was Set To Become Affordable Housing. Then the Union Stepped In.

    At the height of the Covid-19 pandemic, the Paramount Hotel, sitting empty in Times Square, was on the verge of turning into a residential building, offering a rare opportunity to create affordable housing in Midtown Manhattan.A nonprofit was planning to convert the hotel into apartments for people facing homelessness. But after 18 months of negotiations, the plan collapsed this year when a powerful political player intervened: the Hotel and Gaming Trades Council, the union representing about 35,000 hotel and casino workers in New York and New Jersey.The union blocked the conversion, which threatened the jobs of the workers waiting to return to the 597-room hotel. Under the union’s contract, the deal could not proceed without its consent.The Paramount reopened as a hotel this fall, an illustration of how the union has wielded its outsized political power to steer economic development projects at a critical juncture in New York City’s recovery.The pandemic presented a devastating crisis for the city’s hotel workers, more than 90 percent of whom were laid off. But as the union has fought harder to protect them, its political muscle has also drawn the ire of hotel operators and housing advocates, who say the group’s interests can be at odds with broader economic goals.After the conversion failed, the Paramount reopened this fall, saving about 160 hotel jobs.Ahmed Gaber for The New York TimesThe union’s impact ripples throughout New York. It can block or facilitate the conversion of large hotels into housing and homeless shelters, a consequential role in a year when homelessness in the city reached a record high of about 64,000 people. The union pushed for the accelerated expansion of casinos, which could transform the neighborhoods of the winning bids. And it was a driving force behind a new hotel regulation that some officials warned could cost the city billions in tax revenue.The union’s influence stems from its loyal membership and its deep pockets, both of which it puts to strategic use in local elections. Its political strength has resulted in more leverage over hotel owners, leading to stronger contracts and higher wages for workers.In this year’s New York governor’s race, the union was the first major labor group to endorse Gov. Kathy Hochul, whose winning campaign received about $440,000 from groups tied to the union. The group was also an early backer of Eric Adams, whose mayoral campaign was managed by the union’s former political director.“H.T.C. is playing chess while everyone else is playing checkers,” said Chris Coffey, a Democratic political strategist, referring to the union’s more common name, the Hotel Trades Council. “They’re just operating on a higher playing field.”Origins of the union’s powerHistorically, the Hotel Trades Council avoided politics until its former president, Peter Ward, started a political operation around 2008.Mr. Ward and the union’s first political director, Neal Kwatra, built a database with information about where members lived and worshiped and the languages they spoke. This allowed the union to quickly deploy Spanish speakers, for instance, to canvass in Latino neighborhoods during campaigns.Candidates noticed when the Hotel Trades Council, a relatively small union, would send 100 members to a campaign event while larger unions would send only a handful, Mr. Kwatra said.The Aftermath of New York’s Midterms ElectionsWho’s at Fault?: As New York Democrats sought to spread blame for their dismal performance in the elections, a fair share was directed toward Mayor Eric Adams of New York City.Hochul’s New Challenges: Gov. Kathy Hochul managed to repel late momentum by Representative Lee Zeldin. Now she must govern over a fractured New York electorate.How Maloney Lost: Democrats won tough races across the country. But Sean Patrick Maloney, a party leader and a five-term congressman, lost his Hudson Valley seat. What happened?A Weak Link: If Democrats lose the House, they may have New York to blame. Republicans flipped four seats in the state, the most of any state in the country.To recruit members into political activism, the union hosted seminars explaining why success in local elections would lead to better job protections. Afterward, members voted to increase their dues to support the union’s political fights, building a robust fund for campaign contributions. Rich Maroko, the president of the Hotel Trades Council, said the union’s “first, second and third priority is our members.”Ahmed Gaber for The New York TimesThe Hotel Trades Council ranked among the top independent spenders in the election cycle of 2017, when all 26 City Council candidates endorsed by the union won. Some of these officials ended up on powerful land use and zoning committees, giving the union influence over important building decisions in New York.In a huge victory before the pandemic, the union fought the expansion of Airbnb in New York, successfully pressuring local officials to curb short-term rentals, which the union saw as a threat to hotel jobs.Mr. Ward stepped down in August 2020, making way for the union’s current president and longtime general counsel, Rich Maroko, who earned about $394,000 last year in total salary, according to federal filings.The union’s sway has continued to grow. Some hotel owners, speaking on the condition of anonymity, say they are fearful of crossing the union, which has a $22 million fund that can compensate workers during strikes. In an interview, Mr. Maroko pointed out that the hotel industry is particularly vulnerable to boycotts.“The customer has to walk through that picket line,” he said, “and then they have to try to get a good night’s rest while there are people chanting in front of the building.”The Hotel Trades Council’s contract is the strongest for hotel workers nationwide, labor experts say. In New York City, where the minimum wage is $15 an hour, housekeepers in the union earn about $37 an hour. Union members pay almost nothing for health care and can get up to 45 paid days off.During the pandemic, the union negotiated health care benefits for laid-off workers, suspended their union dues and offered $1,000 payments to the landlords of workers facing eviction.Along the way, the union has become known for its take-no-prisoners approach to politics, willing to ally with progressives or conservatives, with developers or nonprofits — as long as they support the union’s goals.“There may be no union which has more discrete asks of city government on behalf of its members,” said Mark Levine, the Manhattan borough president, who was endorsed by the union. “You can’t placate them with nice rhetoric. To be a partner with them, you really need to produce.”Political wins during the pandemicLast year, the union scored a victory it had sought for more than a decade, successfully lobbying city officials to require a special permit for any new hotel in New York City.The new regulation allows community members, including the union, to have a bigger say over which hotels get built. The move is expected to restrict the construction of new hotels, which are often nonunion and long viewed by the Hotel Trades Council as the biggest threat to its bargaining power.Budget officials warned that the regulation could cost the city billions in future tax revenue, and some developers and city planners criticized the rule as a political payback from Mayor Bill de Blasio in the waning months of his administration after the union endorsed his short-lived presidential campaign in 2019. Mr. de Blasio, who did not return a request for comment, has previously denied that the union influenced his position.In the next mayoral race, the union made a big early bet on Mr. Adams, spending more than $1 million from its super PAC to boost his campaign. Jason Ortiz, a consultant for the union, helped to manage a separate super PAC to support Mr. Adams that spent $6.9 million.Mr. Ortiz is now a lobbyist for the super PAC’s biggest contributor, Steven Cohen, the New York Mets owner who is expected to bid for a casino in Queens.The union, which shares many of the same lobbyists and consultants with gambling companies, will play an important role in the upcoming application process for casino licenses in the New York City area. State law requires that casinos enter “labor peace” agreements, effectively ensuring that new casino workers will be part of the union.A new threatDuring the pandemic, as tourism stalled, there was growing pressure to repurpose vacant hotels. With New York rents soaring, advocates pointed to hotel conversions as a relatively fast and inexpensive way to house low-income residents.But the union’s contract, which covers about 70 percent of hotels citywide, presented an obstacle. A hotel that is sold or repurposed must maintain the contract and keep its workers — or offer a severance package that often exceeds tens of millions of dollars, a steep cost that only for-profit developers can typically afford.A plan to convert a Best Western hotel in Chinatown into a homeless drop-in center was scuttled by city officials after the effort failed to win the union’s endorsement.Ahmed Gaber for The New York TimesEarlier this year, Housing Works, a social services nonprofit, planned to convert a vacant Best Western hotel in Chinatown into a homeless drop-in center. There was opposition from Chinatown residents, but city officials signed off on the deal. It was set to open in May.Right before then, however, the Hotel Trades Council learned of the plan and argued that it violated the union’s contract.Soon, the same city officials withdrew their support, said Charles King, the chief executive of Housing Works. He said they told him that Mr. Adams would not approve it without the union’s endorsement. Mr. King was stunned.“Clearly they have the mayor’s ear,” Mr. King said, “and he gave them the power to veto.”A spokesman for the mayor said the city “decided to re-evaluate this shelter capacity to an area with fewer services,” declining to comment on whether the union influenced the decision.The Chinatown hotel remains empty.An obstacle to affordable housingIn the spring of 2021, state legislators rallied behind a bill that would incentivize nonprofit groups to buy distressed hotels and convert them into affordable housing. They sought the Hotel Trades Council’s input early, recognizing that the group had the clout to push then-Gov. Andrew M. Cuomo to oppose the bill, according to people involved in the discussions.The union supported the conversions, but only if they targeted nonunion hotels outside Manhattan. Housing groups have said that, unlike large Midtown hotels, nonunion hotels are not ideal candidates for housing because they tend to be much smaller and inaccessible to public transit.As a compromise to gain the union’s support, the bill allowed the Hotel Trades Council to veto any conversions of union hotels.“While we certainly support the vision of finding shelters and supportive housing for the people that need it,” Mr. Maroko said, “our first, second and third priority is our members.”One housing advocate involved in the legislation, who spoke on the condition of anonymity, said she warned elected officials that the veto provision would diminish the law’s effectiveness.The law, which passed last year, came with $200 million for conversions. Housing experts criticized the legislation for not sufficiently loosening zoning restrictions, prompting another law this spring that made conversions easier.Still, no hotels have been converted under the new law.Now, with tourism rebounding, housing nonprofits say the window of opportunity has largely passed.“It’s not like hotel owners are clamoring to sell the way they were two years ago,” said Paul Woody, vice president of real estate at Project Renewal, a homeless services nonprofit.How the Paramount deal endedIn the fall of 2020, the owners of the Paramount Hotel began discussing a plan to sell the property at a discount to Breaking Ground, a nonprofit developer that wanted to turn it into rent-stabilized apartments for people facing homelessness.But as the deal neared the finish line, Breaking Ground failed to anticipate pushback from the Hotel Trades Council. In a series of meetings last year, the union said its obligation was to fight for every hotel job and it proposed a range of solutions, including keeping union employees as housekeepers for residents. Breaking Ground, however, said the cost was too high.The nonprofit even asked Mr. Ward, the union’s former president, to help facilitate the conversion. Mr. Ward said he agreed to call Mr. Maroko to gauge his interest in Breaking Ground’s severance offer.This spring, lobbying records show, union representatives met with Jessica Katz, Mr. Adams’s chief housing officer, and other officials about the Paramount. Soon after, Ms. Katz called Breaking Ground and said city officials would not be able to make the conversion happen, according to a person familiar with the conversation. A spokesman for the mayor said the city “cannot choose between creating the housing the city needs and bringing back our tourism economy,” declining to comment on whether the union swayed the decision on the Paramount.The failed conversion saved about 160 hotel jobs, and the Paramount reopened to guests in September.It was a relief for workers like Sheena Jobe-Davis, who lost her job there in March 2020 as a front-desk attendant. She temporarily worked at a nonunion Manhattan hotel, making $20 less per hour than at the Paramount. She was ecstatic to get her old job back.“It is something I prayed and prayed for daily,” she said. More

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    Video Game Workers at Microsoft and Activision Take Steps to Unionize

    Microsoft has remained neutral during a labor organizing bid as the Xbox maker seeks regulatory approval for its Activision acquisition.A few months after Microsoft announced plans to acquire the video game maker Activision Blizzard, the tech giant said it would remain neutral if Activision workers sought to unionize once the deal went through. Now, a major union is testing Microsoft’s appetite for organizing at a company it already owns.A group of more than 300 employees at ZeniMax Media, a Maryland-based video game maker owned by Microsoft, has begun voting on whether to form the company’s only union in the United States.The vote, among quality assurance employees at ZeniMax, which includes prominent studios like Bethesda Game Studios, is taking place under an informal agreement in which Microsoft is staying neutral. Workers can sign a union authorization card, as some began doing last month, or weigh in anonymously for or against unionization on an electronic platform that opened on Friday.The process will conclude at the end of the month and is more efficient than a typical union election, which is overseen by the National Labor Relations Board and can involve legal wrangling over the terms of the election.The same day that voting began at Microsoft, a group of workers in quality assurance, or Q.A., at an Activision-owned studio near Albany, N.Y., won a union vote, 14 to 0. That result followed a successful union vote in May by about two dozen Q.A. workers at an Activision studio in Wisconsin, a first for a major North American video game maker. Activision’s planned acquisition by Microsoft, for about $70 billion, is facing antitrust review by regulators.The organizing campaigns at both companies have been under the auspices of the Communications Workers of America, which also represents employees at telecom companies like Verizon and media companies like The New York Times.Together, the developments appear to add momentum to a wave of union organizing over the past year at previously nonunion companies like Amazon, Starbucks and Apple. The recent campaigns also suggest that video game workers, who for years have complained of long hours, low pay, and sexual harassment and discrimination, may be increasingly receptive to unionization.More on Big TechMicrosoft: The company’s $69 billion deal for Activision Blizzard, which rests on winning the approval by 16 governments, has become a test for whether tech giants can buy companies amid a backlash.Apple: Apple’s largest iPhone factory, in the city of Zhengzhou, China, is dealing with a shortage of workers. Now, that plant is getting help from an unlikely source: the Chinese government.Amazon: The company appears set to lay off approximately 10,000 people in corporate and technology jobs, in what would be the largest cuts in the company’s history.Meta: The parent of Facebook said it was laying off more than 11,000 people, or about 13 percent of its work forceA 300-worker union would be “quite groundbreaking” and could propel Q.A. workers, and even other game workers like developers, to unionize at other large studios, said Johanna Weststar, an associate professor at Western University in Ontario who studies labor in the industry.A Microsoft spokeswoman said that the organizing campaign was “an example of our labor principles in action” and that the company remained “committed to providing employees with an opportunity to freely and fairly make choices about their workplace representation.”The union campaign at Microsoft would affect Q.A. workers at several gaming studios that are a part of ZeniMax Media, including Bethesda, which makes hit franchises like The Elder Scrolls and Fallout.Microsoft, which makes the Xbox series of consoles, acquired ZeniMax for $7.5 billion, a splashy pandemic purchase that helped it compete against rival Sony and its PlayStation consoles, as well as broaden the appeal of Xbox Game Pass, its video game subscription service. The deal closed last year.The first new major, exclusive-to-Xbox game stemming from that purchase, Starfield, is expected to be released next year by Bethesda. Some of the workers who test it may do so as union members.Three ZeniMax employees said that while helping to make video games was a job they had once dreamed of, their Q.A. roles had taken a toll.Victoria Banos, who has worked at one of the company’s studios in Maryland for over four years, said many of her co-workers endured a ritual known as “crunch” a few times each year. It involves working shifts longer than 10 hours during the week and several hours on Saturday, sometimes for weeks in a row, to ensure that a game works properly before the company releases it.“You’re expected to drop whatever you have going on in your life and work whenever they need you to,” said Ms. Banos, who works on The Elder Scrolls Online. She added that ZeniMax had recently made these overtime hours voluntary, but that many employees still felt pressure to work them.She estimated that her hourly wage of $25.50 left her tens of thousands of dollars below what she would earn annually if she performed a similar job at a different kind of software company — like one that makes financial or security software.Other gaming industry Q.A. testers have echoed these points, citing crunch as a continuing problem and arguing that the industry gets away with paying them less because of the allure of its products and the idea that they should be happy to earn an income playing games. Workers say the mind-numbing process of repeatedly testing specific actions for glitches is far different from playing a game for fun.Some ZeniMax workers also said they preferred more liberal policies on working from home, and they complained that the company’s method of allocating training opportunities, additional responsibility and promotions was often arbitrary or opaque. They said they hoped a union would help create more transparent policies.Andrés Vázquez, who has been based at a ZeniMax studio in the Dallas area for more than seven years, said he had yet to be promoted to the next job level, senior Q.A. tester, even though some co-workers who joined the company around the same time had been promoted beyond that level. Whenever he has raised the issue with managers or human resources officials, he said, “I get corporate lip service.”The Microsoft spokeswoman said the company was talking to employees to ensure that they were not taking on too much work, but she did not comment on the other concerns.Still, the workers praised Microsoft for following through on its promise of neutrality. Unlike workers at Starbucks and Amazon, they say, they have not been summoned to meetings in which supervisors seek to dissuade them from unionizing, and they do not feel that the company has retaliated against them for trying to form a union. (Starbucks and Amazon have denied accusations of retaliation.)“It’s been an incredible weight lifted off our shoulders,” said Autumn Mitchell, another Q.A. employee based in Maryland, who has worked on Starfield, the forthcoming game.Workers at the studio near Albany also cited concerns over pay and hours in their decision to unionize, as well as accusations of harassment and discrimination at the company.Amanda Laven, a Q.A. employee involved in the union campaign at the studio, said workers were frustrated that the company had tried to stop their union election on the grounds that it involved only Q.A. workers rather than the whole studio. The National Labor Relations Board had rejected Activision’s attempts to stop the union election at its Wisconsin studio on similar grounds, but the company appealed to the labor board in this case as well.“It’s just a stall tactic,” Ms. Laven said in an interview before the vote count.An Activision spokesman said that the company’s operations in New York and Wisconsin were “very different” in their setup and that it believed the entire Albany studio should be eligible to vote. The spokesman said the company was “considering various legal options,” including seeking to overturn the election.Activision workers seeking to unionize could find the company more receptive in the future.In June, Microsoft announced an agreement with the Communications Workers of America in which it pledged to stay neutral if any of Activision’s U.S. employees sought to unionize after it completed its acquisition. Activision has about 7,000 employees in the country, most of whom are eligible to unionize.Microsoft had a motive for seeking the neutrality agreement: The politically powerful communications workers union had raised questions about the acquisition, which regulators were vetting. The union said its concerns about the acquisition had been resolved after it reached the neutrality agreement.The company hinted at the time that it would extend the neutrality agreement to current Microsoft employees, saying it was prepared to “build on” the deal. The union essentially tested that proposition when it sought to organize Q.A. workers at ZeniMax, and Microsoft followed through.Microsoft may have had an additional reason to take a neutral stance. Showing that it has a healthy relationship with organized labor could help the company navigate the acquisition under the union-friendly Biden administration as scrutiny of the deal intensifies.As if to underscore the point, the union’s president, Chris Shelton, met with the chairwoman of the Federal Trade Commission in October and urged regulators not to block the deal.Karen Weise More

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    Before He Takes On ‘Woke Capitalism,’ Ron DeSantis Should Read His Karl Marx

    With their new majority, House Republicans are planning to take on “woke capitalism.”“Republicans and their longtime corporate allies are going through a messy breakup as companies’ equality and climate goals run headlong into a G.O.P. movement exploiting social and cultural issues to fire up conservatives,” Bloomberg reports. “Most directly in the G.O.P. cross hairs is the U.S. Chamber of Commerce, which is under pressure from the likely House Speaker Kevin McCarthy to replace its leadership after the nation’s biggest business lobby backed some Democratic candidates.”I wrote last year about this notion of “woke capitalism” and the degree to which I think this “conflict” is little more than a performance meant to sell an illusion of serious disagreement between owners of capital and the Republican Party. As I wrote then, “the entire Republican Party is united in support of an anti-labor politics that puts ordinary workers at the mercy of capital.” Republicans don’t have a problem with corporate speech or corporate prerogatives as a matter of principle; they have a problem with them as a matter of narrow partisan politics.That the governor of Florida, Ron DeSantis, railed this week against the “raw exercise of monopolistic power” by Apple, for example, has much more to do with the cultural politics of Twitter and its new owner, Elon Musk, than any real interest in the power of government to regulate markets and curb abuse. (In fact, DeSantis argued in his book, “Dreams From Our Founding Fathers,” that the Constitution was designed to “prevent the redistribution of wealth through the political process” and stop any popular effort to “undermine the rights of property.”)Nonetheless, there is something of substance behind this facade of conflict. It is true that the largest players in the corporate world, compelled to seek profit by the competitive pressures of the market, have mostly ceased catering to the particular tastes and preferences of the more conservative and reactionary parts of the American public. To borrow from and paraphrase the basketball legend Michael Jordan: Queer families buy shoes, too.Republicans have discovered, to their apparent chagrin, that their total devotion to the interests of concentrated, corporate capital does not buy them support for a cultural agenda that sometimes cuts against those very same interests.Here it’s worth noting, as the sociologist Melinda Cooper has argued, that what we’re seeing in this cultural dispute is something of a conflict between two different segments of capital. What’s at stake in the “growing militancy” of the right wing of the Republican Party, Cooper writes, “is less an alliance of the small against the big than it is an insurrection of one form of capitalism against another: the private, unincorporated, and family-based versus the corporate, publicly traded, and shareholder-owned.” It is the patriarchal and dynastic capitalism of Donald Trump against the more impersonal and managerial capitalism of, for example, Mitt Romney.To the extent that cultural reactionaries within the Republican Party have been caught unaware by the friction between their interests and those of the more powerful part of the capitalist class, they would do well to take a lesson from one of the boogeymen of conservative rhetoric and ideology: Karl Marx.Throughout his work, Marx emphasized the revolutionary character of capitalism in its relation to existing social arrangements. It annihilates the “old social organization” that fetters and keeps down “the new forces and new passions” that spring up in the “bosom of society.” It decomposes the old society from “top to bottom.” It “drives beyond national barriers and prejudices” as well as “all traditional, confined, complacent, encrusted satisfactions of present needs, and reproduction of old ways of life.”Or, as Marx observed in one of his most famous passages, the “bourgeois epoch” is distinguished by the “uninterrupted disturbance of all social conditions.” Under capitalism, “All that is solid melts into air, all that is holy is profaned, and man is at least compelled to face with sober senses his real conditions of life, and his relations with his kind.”In context, Marx is writing about precapitalist social and economic arrangements, like feudalism. But I think you can understand this dynamic as a general tendency under capitalism as well. The interests and demands of capital are sometimes in sync with traditional hierarchies. There are even two competing impulses within the larger system: a drive to dissolve and erode the barriers between wage earners until they form a single, undifferentiated mass and a drive to preserve and reinforce those same barriers to divide workers and stymie the development of class consciousness on their part.But that’s a subject for another day and a different column.For now, I’ll simply say that the problem of “woke capitalism” for social and political conservatives is the problem of capitalism for anyone who hopes to preserve anything in the face of the ceaseless drive of capital to dominate the entire society.You could restrain the power of capital by strengthening the power of labor to act for itself, in its own interests. But as conservatives are well aware, the prerogatives of workers can also undermine received hierarchies and traditional social arrangements. The working class, after all, is not just one thing, and what it seeks to preserve — its autonomy, its independence, its own ways of living — does not often jibe with the interests of reactionaries.Conservatives, if their policy priorities are any indication, want to both unleash the free market and reserve a space for hierarchy and domination. But this will not happen on its own. The state must be brought to bear, not to restrain capital per se but to make it as subordinate as possible to the political right’s preferred social agenda. Play within those restraints, goes the bargain, and you can do whatever you want. Put differently, the right doesn’t have a problem with capitalism; it has a problem with who appears to be in charge of it.There is even a clear strategy at work. If you can stamp out alternative ways of being, if you can weaken labor to the point of desperation, then perhaps you can force people back into traditional families and traditional households. But no matter how hard you try, you cannot stop the dynamic movement of society. It will churn and churn and churn, until eventually the dam breaks.The Times is committed to publishing a diversity of letters to the editor. We’d like to hear what you think about this or any of our articles. Here are some tips. And here’s our email: letters@nytimes.com.Follow The New York Times Opinion section on Facebook, Twitter (@NYTopinion) and Instagram. More