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Free Trade is the major cause of our economic crisis. It triggers
poverty and unemployment and put a new working poor class and underclass in place. The entry level jobs are now the
jobs of our times and have turned into exit jobs too as our economies based on making money on money are burning out.
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In cities across
the nation with places like Cleveland Ohio being one of the top cities in the nation in terms of poverty,
the cities, media and public workers unions need to address the core of the problems with their schools including the lack
of discipline of students.
The
Plain Dealer did publish a report a few years ago demonstrating how poverty directly affects the
drop out rate. The drop out rate by students from families in poverty was very high. Now nearly
500 more Cleveland teachers will get cut due to budget contraints. The teaching staff has gone from 5,276 in 2000 to
4,100 this year in 2005. The district elminated more than 1,400 positions last year in the district. The
Public Workers Unions have ignored the plight of the general working force too long. Poverty, unemployment and the working
poor have been issues for years. Now the public workers and teachers have to to absorb the same consequences of
the silent depression just like everyone else. In the letter, below Paul Donovan, a retired steelworker from a strong
private sector union family, raises the basic question. If public servants end up making up to twice as much as the
people they serve how can any good come from this. The largest employers in many major cities are
related to governments needing a tax base to survive. How long can this go on when the tax base keeps getting
smaller and smaller. The priority should be about good paying jobs across the board that support public
services. About two years ago, the Cleveland district brought in teachers from India and this created a protest.
However, outsourcing and insourcing is the name of the game in the private sector in the Free Trade arena. Why
should the public workers sector be exempted. Social ills stem from profound
unemployment By Paul Donovan from the Cleveland Plain Dealer 04/05 (Mr Donovan's House
of Cards Economy from the National Steelworkers Magazine is also noted at this site) " Louis
Filippelli, a Cleveland teacher -( Mr Filippelli in an earlier letter tells about the lack of discipline in the public
schools ) tells us about the district's problems. but fails a test himself ( Letters, March 27). He may need a new lesson
plan. Once upon a time, Cleveland enjoyed a tax base with thousands of middle-class
workers paying the toll for the schools, and now they are gone. Some who still make a decent living fled to the suburbs,
including teachers who work in Cleveland (Fillippelli's letter comes from Westlake) which raises a basic question: How
can teachers and public workers make twice as much as the people they serve and expect any good from it?
Teachers and all public servants are in unions that are most protective of themselves, while the private-sector have
taken a big hit, competing on the basis of profit and loss. Many public workers have lost a sense of what that means. Some
of the public workers put up lawn signs t o protest firings while living next door to people who have no place to go for help
when they lose their jobs. In the past, labor leaders risked their lives to support a living
wages across the board. They are now all dead or too old to voice their view. This is where the public unions came from.
Now, however, they just take care of themselves and applaud when the school dropout rate goes under 50 percent and ignore
the fact that up to 50 percent of young blacks in the inner cities are unemployed. Let's
talk about living-wage jobs first before we chastise the social climate in the inner city." Paul Donovan Retired
Steelworker and Advocate for a living wage. |
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This
letter was published twice in the national SteelLabor Magazine more than ten years ago and predicted the coming our
our economic crisis. It was and still is a House of Cards Economy.
HOUSE OF CARDS ECONOMY
- Ready to fall _____________________________________ By: Paul M Donovan, Steelworker, Local 188 retired from SteelLabor Magazine 2001/2002.
People get worried because 5,000 (Cleveland) LTV steelworkers may soon
lose their jobs and the community will lose millions of dollars because these jobs added dollars for others up the line from
raw product to the finished product and then through distribution channels. If this is dangerous, we should know that once
there were 140,000 steelworkers in Ohio (1965 Statistics) represented by five union Districts. There is now only one District
left in the State. In our local region, we once had 29,000 steelworkers and now there is less than 8000 left. (since then,
5000 more steelworkers have lost their jobs with only 3000 left in the region now in 2002). Our region, which led the way in steel and other manufacturing, is now
replaced by an economy based on taxpayers with very little value-added stages left. Of the top twenty-five employers, five
are government employers. The biggest employer is the Federal Government with the County and Cities close behind. Seven are
related to the medical industry. Three are in school systems or colleges. Two are utilitiy companies. Following these
employers are banks and insurance, which depend on other value-added stages to exist. So, out of the top twenty-five employers,
only two are left who are value-added manufacturers.
This is an economy based on a house of cards. ( and primarily supported by taxpayers.), If only a few more cards are pulled
from the base the whole thing will topple. The businesses that are thriving are temporary help offices, payday loan stores
and equity loan businesses. This is not a foundation to build your economic house. We have a house of cards economy ready
to fall. (Paul M Donovan )
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