Obama Won: Now What?

In the end, Mitt Romney’s vision for America did not generate the support necessary to elect him president.   I find that fact perplexing and deeply dispiriting, but no amount of analysis or angst can change the fact that Barack Obama was given another four years to complete the “transformation” he promised back in 2008.

Here’s some of what we could have stopped - but didn’t:

  • Obamacare will now be fully implemented, driving private insurance out of business, since no one can compete with an entity that can print its own money.  And yes, healthcare will be rationed for all but the wealthiest among us.
  • Two or three more Leftist ideologues will be appointed to the Supreme Court, creating a new majority which will twist (or ignore) the Constitution to enact its statist, liberty-stealing agenda.
  • With the tax increases coming in January, including those embedded in Obamacare, thousands (if not millions) of small companies struggling to survive on the slimmest of profit margins will simply disappear, along with the jobs they had created.
  • Another trillion dollars a year will be added to the already astronomical sum that somebody owes to someone.
  • Regulations and notices, now being issued at the rate of 68 per day, will tighten the choke hold on American enterprise across the board, disincentivizing entrepreneurs from putting their effort and equity into an increasingly toxic economic environment.

The fact is, we appear to be in a brief historical transition in which a majority of Americans now support the basic tenets of socialism while living on the fast-diminishing wealth produced by previous generations of capitalism.  In essence we are cannibalizing for short-term satisfaction the once unimaginable storehouse of riches created by our forefathers through ingenuity, freedom, thrift, and hard work.  We have now begun to feed our appetites and sense of entitlement by doing what used to be called “eating our seed corn.”

The resilience that has always defined America may prevent us from imploding overnight, but make no mistake:  the solvency of our country is at the breaking point.  We could indeed become Greece, and tragically, whether by destructive design or imperious indifference, the ruling class seems bent on keeping us on this perilous course.

For our part, the Cabot Institute will continue to advise clients on the best strategies for survival in these perilous times, and we encourage you to invite us into the conversation as you plan for 2013 and beyond.

expert labor relations advice

Obama’s Support of Labor Unions Threatens Our Economic Society as We Know It

From the desk of Steve Cabot: As a labor relations expert, who represents employers globally, I examine most labor relations trends involving unions. What most of us do not understand is how biased President Obama is in favoring labor unions, particularly those in government.

A recent book authored by Mallory Factor entitled “ShadowBosses” portrays the influence of government unions while President Barack Obama has been in the White House. The author claims that “some union officials meet more often with the President and his staff than cabinet officials.” Factor contends, and I agree, that the Obama administration’s decision to allow the TSA to be unionized represents a growing threat to national security as well as deficit reduction efforts that could derail any possible economic recovery. As an illustration, ShadowBosses reveals that 20% of the workforce in the Department of Defense and a third of the employees working for Homeland Security are represented by labor unions. Furthermore, the unionized Homeland Security employees work for border patrol, customs and immigration, and FEMA agents.

Factor contends, and I agree, that the power of union leadership, which pursues political agendas, are not always supported by their membership, which is reflected in the billions of dollars of union dues that it can spend in support of politicians. For example, teacher unions have $2 billion/year in dues and a lot of that is used for political purposes. Also, government employee unions collect at least $14 billion in annual dues and much of that is also used for political purposes.

The growth of governmental unions also has a negative spin for our economy. Factor’s book makes the case that government unions are among the reasons for the growing size of the federal government and the national debt. Almost 500,000 federal government employees earn more than $100,000/year and receive up to 10 weeks of annual vacation. Union leaders, meanwhile earn as much as ten times that of rank and file members, with salaries reaching more than $800,000/year. ShadowBosses critically reveals that taxpayers subsidize this ballooning cost of government which effectively prevents us from more positively attacking the growing budget deficits.

Most labor relations experts, like me, are convinced that these abuses by union and government must end now. The election in November provides an opportunity to end these abuses. Voters must decide now on the correct course for our great country. I believe that a vote for the Romney/Ryan ticket is the necessary first step.

expert labor relations advice

Expose of Union Abuses

From the desk of Steve Cabot: The recent addition of Representative Paul Ryan to the Mitt Romney Republican ticket, strengthens the chance of Republicans overtaking President Obama in the November, 2012 election. Ryan’s conservative position enhances the Republican party’s chances in November that it can reverse the Obama administration’s excessive liberal support of labor unions.

Obama’s Secretary of Labor, Hilda Solis, lessened governmental regulations pertaining to labor unions and its officials through her biased unilateral rule making authority. This has created injustices to the American public, including union constituents. The recent indictment of Terence Bonner, former president of the National Border Patrol Council, exemplifies how labor union officials can abuse their members due to lessening regulations instituted by Hilda Solis.

A victory in November by the Romney/Ryan ticket will reverse and limit labor union abuses caused by liberalizing Department of Labor regulations. 

expert labor relations advice