Category Archives: Government workers and pensions

The Aggressive Progressive Democratic Agenda

From tiny acorns grow the mighty oaks of government.

By Steve Haner

The Democrats now running Virginia’s General Assembly are not just more progressive, but far more ambitious than their predecessors. To fully understand how ambitious you must compile the entire list of progressive bills advancing in the 2024 session and consider their total impact on the cost of living and cost of doing business in the commonwealth. Individual news stories miss the big picture.  

The push to radically regulate Virginia’s energy future discussed earlier is being mimicked with equally aggressive legislation throughout the rest of our economy. None of the ideas below are new, and most are already in law in places like California, New York or other more liberal states. What has changed is that when proposed in the past, they usually were rejected in Virginia on a bipartisan basis. Democrats now march in lockstep.  

The Assembly is still in its first phase and adjournment is set for early March. Which of the following will pass remains to be seen, and in many cases, amendments are already appearing. Most may also face gubernatorial veto or amendment, but that just underscores that Virginia is only one election of one official away from total transformation.   

In the case of the bills to increase the minimum wage (here and here), Democrats are simply building upon what they did during their last period of control. But if they succeed in setting future wage increases to automatically grow with inflation, the impact just builds and builds. Classes of employees reasonably exempted from the law currently, such as farm workers, may now be covered, as well.   

Likewise, the previous Democratic majority also took the first steps toward collective bargaining for limited groups of local employees, but only after elected local officials gave a green light to negotiate a contract. This year’s bill expands the right to bargain to almost all local and now most state employees, with no vote needed by a school board or city council. It was revealed that the most recent version does conveniently exempt employees of the General Assembly, however. Continue reading

Virginia Child Victims in the Left’s War on the Enlightenment and Science

Richard Bernstein, a founder of American critical theory.

by James C. Sherlock

Modern progressivism is religion, defined by Webster as “a cause, principle, or system of beliefs held to with ardor and faith.”

The critical theory progressive, that is to say the modern American progressive, rejects proudly and publicly, root and branch, both the Enlightenment and the Scientific Revolutions of the 16th through 18th centuries in Europe.

Critical Theory developed into a synthesis of Marx and Freud. The Frankfurt School which birthed it studied the sources of authoritarianism. Their followers, as in much of human experience, wound up as practitioners.

By contrast, the leading lights of Enlightenment and Scientific Revolution awakenings, bravely in their time, stressed the belief that science and logic give people more understanding. And with understanding came freedom and the rights of man.

Logic is the principles of reasoning; science provides the principles of investigation and proof.

They led much of Europe, and the American colonies, to develop more successful systems of governance, economics, mathematics, physics, astronomy, biology, chemistry, and education than did tradition and religion.

One development, capitalism, has raised more people out of poverty than any economic system ever.

Some of the rest of the world followed. Some did not. Those that did, prospered, and improved the lives of billions of people.

But success in those twin intellectual revolutions came too slow for some.

To that table came two prominent 19th and 20th century experiments in rejecting the Enlightenment: communism and national socialism.

They proved the deadliest political movements in human history. Continue reading

Around the Commonwealth: Local Unions and Housing Help

by Dick Hall-Sizemore

Some interesting recent actions by local governments:

Local employee unions–Many on this blog predicted that local government bodies, especially those in “progressive” urban areas would not be able to resist attempts by local employee unions to enter into collective bargaining. The City of Norfolk has demonstrated that it can and will resist. As reported by The Virginian Pilot, the Norfolk City Council this week voted 5-3 against a request by the Police Benevolent Association to enter into collective bargaining. The city council did create four “employee committees” that are to meet with the city manager. Input from those committees will be factored into council’s budget decisions.

Helping employees buy a house–Henrico County will pay up to $25,000 for a down payment on a house for qualified county or school employees. The county has designated $2 million for this initiative. Therefore, at least 80 employees will be able to benefit.

To benefit fully from this offer, the employee must work five years for the county. According to the county administrator, the county views this as a tool to retain employees.

As reported by the Henrico Citizen, the program is available to first-time home buyers who have worked for the county or school system for at least year on a full-time basis.  The home to be purchased must be located in Henrico County and cost no more than $425,ooo. Furthermore, eligibility for the program is limited to employees who live in a household with income not exceeding $98,400 for two or fewer persons or $114,900 for three or more persons. The down payment provided by the county will be treated as an “interest-free, forgivable loan, and 1/60th of the balance will be forgiven each month that the employee lives in the house and remains employed by Henrico. If the employee stops working for the county or sells the house before the five-year window has ended, he or she will be required to repay the remaining balance.”

Local Government Unions Raise Your Taxes

By Chris Braunlich

Subscribers to Netflix will soon see rate increases because of the Screen Actors Guild-AFTRA Hollywood strikes.  Buyers of new and used cars will, as a result of the United Auto Workers strike, see prices go up as supply dwindles and costs rise.

The current spate of labor actions – involving more than 420,000 employees – is a response to higher inflation.  However, it will also drive prices even higher, both through lost productivity and higher costs to pay for higher wages. Continue reading

Another Race Institute at UVa

Kimberly J. Robinson, UVa Professor of Law. Official Photo

by James C. Sherlock

Fund it and they will come.

The Daily Progress reports that thanks to a $4.9 million gift from an anonymous philanthropist, a new “Institute” has been launched at UVa’s School of Law.

The new organization, the Education Rights Institute, plans to

“find ways to improve K-12 education and help educators address the obstacles that face disadvantaged students.”

Staff have been hired and the institute’s first projects are already in development. There will be a star-studded roll out on October 16th.

Excited?

Hold that thought while you read about the Institute’s leadership, goals and intentions. Continue reading

Be Careful What You Ask For, You Just Might Get It

by James A. Bacon

Welcome to the new normal. In 2020 the General Assembly enacted a law giving local school districts the right to engage in collective bargaining. Our friends at the Thomas Jefferson Institute for Public Policy warned that much mischief would ensue, an assessment I shared.

On November 2022 the Prince William County Board of Supervisors adopted a collective bargaining ordinance, allowing county employees to negotiate contracts, though not to strike. “Prince William County workers are one step closer to bargaining a historic contract that will lift up all working families,” said David Broder, President of SEIU Virginia 512, reported the DCist at the time.

Now the Prince William Education Association is demanding a 17% pay raise for teachers, which, if enacted without budget cuts, would add $364 million to the county’s $1.5 billion school budget. According to the Potomac Local News, such a pay raise would require a 73% hike in homeowner tax bills. The working families paying real property taxes might beg to disagree with Broder’s assessment.

Among other demands, the teachers union is protesting a new regulation that requires teachers to teach classes remotely when bad weather disrupts in-school instruction. Continue reading

The Virginia State Budget and the Rising Costs of Registered Nurses

by James C. Sherlock

I was asked yesterday by a reader about the relationship between nursing homes, rising registered nurse salaries and the new Virginia budget agreement.

Good questions. Virginia’s workforce includes nearly 70,000 registered nurses.

The state pays its workers, but it also pays its Medicaid share for private sector nurses. Pay for private sector workers is based upon market conditions. The market wage for registered nurses nationwide increased dramatically during COVID.

Perhaps the only good thing to come out of that mess was that registered nurses, of whom Virginia has 11% fewer than demand calculated by the federal Health Resources and Services Administration, got very large pay and bonus raises, and the new wage points appear to have stuck.

If the laws of economics work here, that will over time increase the number of nurses if we can educate and train them in the required numbers.

The latest figures from the Bureau of Labor Statistics for all states show that the median wage for an RN in Virginia was $79,700 a year. In Northern Virginia portion of the D.C. metro area, the median was $92,800.  The underlying data are a couple of years old.

Wages and bonuses can vary a lot among Virginia hospitals, nursing homes, home health agencies, nursing school staff and government employees, and are higher or lower depending on specialty. The private sector offers $10,000 to  $20,000 signing bonuses paid out after the first year.

Employers of course must pay payroll taxes and other expenses related to employees, and thus their costs will generally exceed $100,000 per RN.

Virginia RNs are still underpaid compared to national figures. The mean annual wage for America’s 3 million registered nurses in May was $89,010 compared to Virginia’s $79,900.

The federal Centers for Medicare/Medicaid Services, aware of some of the questionable business models of bad actors in the nursing home industry, published last week a proposed rule to both increase the minimum number of RNs in nursing facilities and to require all nursing facilities to reveal every year how much of the Medicare and Medicaid payouts go to salaries and related expenses.

So, Medicare and Medicaid costs will go up yet again. Continue reading

Check Out Which New Virginia Laws Go Into Effect July 1st

by The Republican Standard staff

The Virginia General Assembly passed several small bills due to the split between the Republican-led House of Delegates and the Democratic-controlled Virginia State Senate. Yet the areas where they did find co-operation could matter to many Virginians as we head into Fourth of July weekend.

Enhanced Penalties for Fentanyl Manufacturing or Distribution
Reeves SB1188 Senate 35-5 House 50-42
Provides that any person who knowingly and intentionally manufactures or knowingly and intentionally distributes a weapon of terrorism when such person knows that such weapon of terrorism is, or contains, any mixture or substance containing a detectable amount of fentanyl is guilty of a Class 4 felony.

Universal Occupational License Recognition
McDougle SB1213 Senate 40-0 House 99-0
Establishes criteria for an individual licensed, certified, or having work experience in another state to apply to a regulatory board within the Department of Professional and Occupational Regulation and be issued an occupational license or government certification if certain conditions are met.

Police Chiefs May Enact Local Curfews during Disturbances
Norment SB1455 Senate 27-12 House 53-45
Enables the chief law-enforcement officer of a locality to enact a curfew under certain circumstances during a civil disturbance.

Making Sure Every District has a Legislator
Suetterlein SB944 Senate 39-0 House 99-0
Requires special elections to fill a vacancy in the membership of the General Assembly be held within 30 days of the vacancy if the vacancy occurs or will occur between December 10 and March 10 which coincides with time right before and during the General Assembly session. Continue reading

VRS “Diet COLA” Squeezes Pensions Second Time

by Steve Haner

Virginia’s “Diet COLA” approach to calculating annual inflation increases to Virginia Retirement System pensions has constrained the increases once again.  Beneficiaries will see a benefit increase of 5% effective July 1, up from the 3.85% increase they received a year ago.

Both are below what they would have been if the increase had simply matched the full annual change in the consumer price index. The CPI-U measure of inflation for the calendar year 2021 was 4.7% and for 2022 was 8.0%.  The compounded rise was 13%.  But instead of rising those amounts, the VRS retirement benefits will have risen less than 10% over two years.  (Those figures have been corrected since the initial posting.)   Continue reading

Countering the VEA… on a Shoestring Budget

The Internet ad displayed above, produced by the Thomas Jefferson Institute for Public Policy, reached 12,000 Virginia teachers. The return on the modest investment has been impressive. Says Co-President Chris Braunlich: “Inquiries about alternative educator associations are pouring in. Some have already cancelled their union membership (taking $700 in annual dues with them).”
JAB

Deflating Degree Inflation

by Robin Beres

In May 2021, The Harvard Business Review featured a column by Michael Hansen, CEO of Cengage Learning titled, “The U.S. Education System Isn’t Giving Students What Employers Need.”

Hansen argued that today’s education system is not equipping students “with the skills and capabilities to prepare for a career where they can obtain financial stability.”

It’s no secret the pandemic drastically upended the American workforce. After millions of workers lost their jobs and were sent home, they began to appreciate the value of downtime and a stress-free lifestyle. So much so that many of those newly-unemployed were reluctant to return to the nine-to-five grind.

Businesses, anxious to be up and running again, have been desperate to get warm bodies back on their payrolls and in the office. Many CEOs have come to realize that degree-inflation — requiring an often-unnecessary bachelor’s degree for entry- and mid-level positions — has been a barrier to bringing on good, hard-working men and women.

These types of jobs can include well-paying positions such as regional managers, supervisors, support specialists, administrative workers, and countless others. While a kid right out of high school may not have the skills necessary for many of these jobs, someone who has worked in the field for five or 10 years or more usually has picked up the qualifications necessary to do the work well.

Last week, Gov. Glenn Youngkin joined six other state governors in a trend that began last year when he announced that the Old Dominion will no longer require college degrees for nearly 90 percent of state government jobs. It will also no longer give higher preference to degree holders. Every year, Virginia state agencies advertise more than 20,000 job openings. Continue reading

Read It and Weep – DEI at UVa

Navy helicopter overflies UVa Disharoon Park as team stands at attention for national anthem. Photos By Sanjay Suchak, sanjay@virginia.edu

by James C. Sherlock

Kerry Daugherty’s column this morning was heart-wrenching for anyone who cares at all about kids’ educations.  The Norfolk School Board voted 6-1…

to begin teaching gender ideology, masturbation, sexual identity, homosexuality, abortion and lesbianism in middle and high schools.

To kids who cannot read or perform mathematics at grade level.

Now we get a look at what awaits any kid who escapes Norfolk public schools with sufficient skills and diversity credits to get accepted into the University of Virginia (UVa).

They will be welcomed by a Diversity, Equity and Inclusion (DEI) bureaucracy so large, powerful and widely distributed that a DEI factotum will:

  • review and grade their application in the recruitment process;
  • exercise authority over the curriculum and faculty;
  • monitor their progress; and
  • interview each candidate for graduate school and meet with each annually to assess political views.

If I just told you how this works as above, you would think I was making it up.

So I will quote from UVa’s website. Continue reading

Major Actions to Reduce Corporate Overhead Offer Lessons and Opportunities to Virginia Government

Courtesy Wall Street Journal

by James C. Sherlock

The chart above shows that management and administrative overhead growth has been a trend not limited to government. The difference is that corporations are making quick and decisive strides in reversing the trend.

It is axiomatic that government should minimize overhead to maximize efficiency in delivery of services. And to lower its costs.

Efficiencies need to be found:

  • to maximize value for citizens;
  • to speed decision-making;
  • to minimize administrative consumption of the time and attention of front line workers; and
  • to restore freedom of speech suppressed by government bureaucracies assembled for that purpose.

All senior government managers would sign up for those goals — as theory. But execution is hard. Internal pressures against change are seldom exceeded by external ones that demand it.

An excellent report in the Wall Street Journal makes an observation that they may wish to consult for inspiration.

Companies are rethinking the value of many white-collar roles, in what some experts anticipate will be a permanent shift in labor demand that will disrupt the work life of millions of Americans whose jobs will be lost, diminished or revamped partly through the use of artificial intelligence.

‘We may be at the peak of the need for knowledge workers,’ said Atif Rafiq, a former chief digital officer at McDonald’s and Volvo. ‘We just need fewer people to do the same thing.’

Continue reading

Teachers’ Unions and Virginia Schools

Courtesy VEA

by James C. Sherlock

Virginia is a government union state.

Because of the federal workforce in Northern Virginia, Virginia in 2021 had the third highest percentage of any state of government union members as a share of total union members at 64%.

That is a higher percentage than Washington D.C.

Of all employees in Virginia, 22.5% worked for the government in 2021. Virginia is one of only seven states over 20%. D.C. is 29%.

The National Teachers’ Unions. Many Virginia teachers and support personnel belong to local teacher’s associations and unions that are affiliates of the two major national public school teacher’s unions, the National Education Association (NEA, 3 million members) and the American Federation of Teachers (AFT, 1.7 million members).

Together they represent one in four union members in the U.S. The leadership of both are hard-core progressives.

Those national numbers of members are provided by the two unions and include retirees. In 2021 together they had about 3.6 million working members.

In the years 2019-21, the National Center for Education Statistics counted three million teachers in public schools and 500,000 in private schools. But the NEA and AFT represent large numbers of other school staff to account for the apparent discrepancy.

The two unions are overtly political and focused on social issues warfare.

In Virginia, the two national unions claim 45,000 members, which, since they both include large numbers of non-teacher staff, means together they represent significantly less than half of Virginia teachers. Continue reading

Tuition, Room, Board and Fees Up 7% Next Year at Tech – Zero Cuts in Massive Administrative Overhead

Letitia “Tish” Long

by James C. Sherlock

From The Roanoke Times

Faced with inflationary pressures and state budget uncertainty, the school’s Board of Visitors voted unanimously to markup overall student costs by about 7%, increasing tuition and fees, plus room and board.

It was not an easy decision, said Rector Tish Long.

”This is one of the most important and most difficult decisions that this board has had to make,’ Long said. ‘This is a very difficult decision, and we did and continue to take everyone’s comments into account.’

Rector Long did not mention how easy it was to not cut administrative overhead:

  • No data required;
  • No difficult discussions;
  • No strained decisions;
  • No dispirited looks from the University President;
  • Let’s break for lunch. Early.

Tech’s Executive Vice President and Chief Operating Officer, who would be the one to recommend cuts, is enthusiastic about that school’s “Administrative Transformation” project.

He notes that he has an Administrative and Professional (A/P) Faculty job architecture project underway. Alas, the obstacles include:

Currently there are over 2,400 A/P faculty positions with over 1,800 unique titles. This lack of structure creates inconsistent pay and titling practices — which can unintentionally create pay equity issues — as well as makes it difficult to benchmark salaries to the external market.

It makes it quite difficult to make cuts when the University COO has no idea what all those people do. Continue reading