The labor battle where Union Joe can't go

From: POLITICO West Wing Playbook - Monday Jul 17,2023 09:51 pm
The power players, latest policy developments, and intriguing whispers percolating inside the West Wing.
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West Wing Playbook

By Lauren Egan, Hailey Fuchs, Nick Niedzwiadek and Eli Stokols

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UPS and the International Brotherhood of Teamsters are running out of time to reach a new collective bargaining agreement: About 340,000 workers have agreed to go on strike unless they get a new contract by the end of the month.

So far, President JOE BIDEN hasn’t had much to say about it. And the Teamsters want it to stay that way.

“My neighborhood where I grew up in Boston, if two people had a disagreement and you had nothing to do with it — you just kept walking,” Teamsters President SEAN O’BRIEN told members in a webcast Sunday. “We echoed that to the White House on numerous occasions. We don’t need anybody getting involved in this fight.”

Historically, labor members and union leaders have not wanted the federal government to get involved in contract negotiations, since such intervention can leave the union in a weaker position and work in favor of management.

But the calls by the Teamsters for the Biden administration to stay away suggests an erosion of trust between organized labor and the self-described “most pro-union” president. The threat of a UPS strike is the latest test of just how willing the president is to stick with labor in the face of challenging economic tradeoffs.

Some Teamsters, who were not authorized to speak publicly, told West Wing Playbook that union members are concerned about Biden’s inclination to make a deal. Just last fall, Biden intervened to avert a rail strike against the backdrop of more concerns about economic fallout, worsening inflation and harm to his political standing. Some union members were content with the final settlement — even more so since winning the sick leave left out of the original deal Congress and Biden pushed on them. But others felt that the White House betrayed the rail workers.

“They screwed those workers,” said BOB MUEHLENKAMP, who was assistant to the general president of the Teamsters and the Teamsters’ general organizing director when UPS workers last went on strike in 1997. Given how the administration handled the rail negotiations, Muehlenkamp said that the White House should “stay out” of the current UPS talks.

For now, the White House is respecting the Teamsters’ wishes. Acting Labor Secretary JULIE SU has said she didn’t see a need to step in at this stage. But that calculation could change as fears mount inside the White House about the strike jeopardizing the post-Covid economic recovery and the president’s approval rating.

Like last year’s rail strike, a UPS strike could have enormous consequences. Not only would it severely inconvenience online shoppers, it would be harder to get goods in stores and deliver critical supplies like medicine. UPS’ competitors, including FedEx and the U.S. Postal Service, don’t have the capacity to fill in the gaps — which could end up costing the economy billions of dollars.

It’s a situation that any president would prefer to avoid, particularly one running for reelection.

“Given that the self proclaimed pro-union president has acted in ways that are not pro-union, that is certainly informing the Teamsters desire to not have the president involved in any way,” said ERIN HATTON, a University at Buffalo sociology professor who specializes in labor markets.

The Teamsters endorsed Biden in the 2020 election but have not yet formally backed his reelection campaign. The president’s signature American Rescue Plan included tens of billions in aid for struggling pension plans — much of which has gone to various Teamsters-affiliated funds. O’Brien has visited the White House on multiple occasions under Biden, though the two do not have as extensive a relationship as the president enjoys with other labor leaders.

“This president believes that workers have the right to strike, that they have the right to ask for fair wages for fair benefits,” White House press secretary KARINE JEAN-PIERRE said Monday. “He believes in collective bargaining, he thinks that’s an important tool that works. And so this is very much a pro-union president. So he’s certainly not going to get in the way of that.”

When asked if the White House would promise not to intervene if the UPS workers went on strike, Jean-Pierre said “we are confident that both sides are going to come to an agreement.”

The Teamsters privately are also expressing confidence they’ll get what they want from UPS. Already they have succeeded in getting UPS to agree to install air conditioning in vehicles and to do away with a two-tier wage system established under O’Brien’s predecessor, JAMES P. HOFFA. The two sides are still in disagreement about pay for part-time workers.

UPS, for its part, says that it routinely updates the administration on the state of negotiations and is expressing optimism about where negotiations are headed.

“We expect that we will reach an agreement through the collective bargaining process with the Teamsters,” said UPS spokesperson NATASHA AMADI.

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POTUS PUZZLER

Which president broke precedent and had his personal secretary deliver his first State of the Union to Congress?

(Answer at bottom.)

The Oval

SAVING THE CHILDREN: POPE FRANCIS is sending an emissary to Washington to meet with Biden on Tuesday about helping Ukrainian children who have been displaced by Russia, our ADAM WREN and ALEX WARD report. The trip comes as the Vatican continues working closely with Russia and Ukraine to address how to alleviate the suffering of children, including how to ensure their safe return.

CAMPAIGN ADDS THREE STAFFERS…: And nearly doubles in size! The Biden 2024 operation — with just four paid staffers on the payroll so far — announced the names Monday of three individuals who will be joining in senior roles. As our KELLY GARRITY reports, former Rep. CEDRIC RICHMOND, who also was Biden’s first director of the White House Office of Public Engagement, will join the reelect as a campaign co-chair and senior adviser. Chief of Protocol RUFUS GIFFORD will leave his post at State to become the Biden 2024 campaign’s finance chairman. And CHRIS KORGE, a Miami developer who is currently the finance chair of the Democratic National Committee, will move over to chair the Biden Victory Fund.

WHAT THE WHITE HOUSE WANTS YOU TO READ: This piece by CNN’s TIERNEY SNEED about how Biden’s push to confirm judicial nominees has gone uninterrupted, even as the Supreme Court handed down several unfavorable rulings. Sneed writes that the new judges “represent the culmination of promises by President Joe Biden and Democratic lawmakers to bring more diversity, including varied professional experiences to the bench.” White House communications director BEN LABOLT tweeted the piece on Monday.

WHAT THE WHITE HOUSE DOESN’T WANT YOU TO READ: This NYT op-ed by ROBINSON MEYER about how U.S. efforts to build a competitive clean energy economy will fall short without American and Chinese firms working together. While many electric vehicle battery plants have opened across the U.S. in the past year, many lack the institutional knowhow or materials needed to create the lithium batteries required for manufacturing products at scale, Meyer argues. Some U.S. automakers forged partnerships with Chinese firms — which dominate global EV battery production — only to receive blowback from lawmakers who worry such collaborations could present national security risks.

THE BUREAUCRATS

FIRST IN WEST WING PLAYBOOK: STEPHANIE WEINER has been named chief counsel at the National Telecommunications and Information Administration at the Department of Commerce, DANIEL LIPPMAN has learned. She previously served as deputy chief counsel and acting chief counsel at the agency.

MORE PERSONNEL MOVES: JULIA KRIEGER has left the Treasury Department, where she served as a senior spokesperson on domestic and international tax policy, climate finance and cyber and digital asset security. Krieger, a Biden White House and campaign alum, started Monday as the U.S. policy comms lead at Coinbase.

Filling the Ranks

RACE AGAINST THE CLOCK: The Equal Employment Opportunity Commission is set to advance a group of nominees that could grow Democrats’ majority on the five-member panel, Nick Niedzwiadek reports for Pro s.

Although Democrats secured a majority last week after the Senate confirmed KALPANA KOTAGAL, the panel could soon return to a 2-2 split by the end of the year. That’s when the term of EEOC chair CHARLOTTE BURROWS expires and lawmakers may not have enough time to confirm her for a third term. With Kotagal now on board, Burrows is expected to use the remainder of her time to pursue stalled progressive initiatives, including solidifying anti-bias laws that prohibit discrimination based on sexual orientation or gender identity.

NOT THIS AGAIN: Secretary of State ANTONY BLINKEN penned a letter to the Senate on Monday urging the chamber to confirm the more than 60 State Department nominees whose bids have been blocked by Sen. RAND PAUL (R-Ky.) over his frustration with the administration’s disclosures on the origins of Covid-19.

“By failing to confirm these nominees, a handful of senators are keeping our best players on the sidelines,” Blinken told reporters at a press briefing.

The vacancies include ambassadorships in Europe and Asia, as well as the department’s counterterrorism coordinator.

Agenda Setting

PIPELINE PRESSURE: The Biden administration has until July 25 to respond to the Mountain Valley Pipeline’s motion to override a lower court’s stay on construction in a national forest, according to a Supreme Court order Monday.

After the U.S. Court of Appeals 4th Circuit issued an order last week to halt construction in response to groups raising environmental concerns, the pipeline’s developer urged the high court to intervene, warning that July 26 is a critical day for the project to ensure construction begins on time. Our ALEX GUILLÉN has the details for Pro s.

A WIN FOR BABIES, A RELIEF FOR PARENTS: The FDA on Monday approved Beyfortus, an antibody aimed at protecting infants from RSV, our KATHERINE ELLEN FOLEY reports.

The drug, manufactured by Sanofi and AstraZeneca, was 70 percent effective in clinical trials and cleared for babies up to 24 months. Prior to the FDA’s move, no protection against RSV was available for infants in the U.S., despite the European Commission approving Beyfortus last year.

What We're Reading

Kurt Campbell on Talking to China Again (Bob Davis for The Wire China)

Trump and Allies Forge Plans to Increase Presidential Power in 2025 (NYT’s Jonathan Swan, Charlie Savage and Maggie Haberman)

Why Jill Biden could be the key to her husband’s reelection campaign (The Philadelphia Inquirer's Julia Terruso)

POTUS PUZZLER ANSWER

THOMAS JEFFERSON broke a precedent set by GEORGE WASHINGTON and JOHN ADAMS, who delivered their State of the Union speeches in person. At Jefferson’s request, Captain MERIWETHER LEWIS (of Lewis and Clark fame) delivered the address in writing. This new precedent remained until 1913 when another Virginian, WOODROW WILSON, reestablished delivering the address in person.

A CALL OUT! Do you think you have a harder trivia question? Send us your best one about the presidents, with a citation or sourcing, and we may feature it!

Edited by Eun Kyung Kim and Sam Stein.

 

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