Send tips to Community Media Worskhop
cmw@newstips.org
NEWSTIPS HOME | About | Follow on Twitter @ChicagoNewstips


Will higher wages hurt the economy?

Higher wages for fast food and retail workers could hurt the economy, according to an analysis by the Chicago Tribune.

The analysis includes comments from the Workers Organizing Committee, which led hundreds of workers from national chains, from Wendy’s to Potbelly and from Sears to Victoria’s Secret, in strike actions here last week.  They’re not looking to double wages to $15 an hour overnight; they’re trying to organize a union and address a range of issues.

It also includes a Whole Foods employee who works two additional jobs and still qualifies for food stamps, and a labor economist who is quoted to the effect that high unemployment helps lower wages.

But its major thrust is whether consumers can stand to pay the higher prices that they say higher wages would require.  The economists they ask about this specialize in consumer psychology and marketing behavior.

One crucial piece of information is omitted, curiously:  how big of a price increase are we talking here?

In a column reviewing “the boilerplate argument against higher wages” — which is precisely that it would hurt consumers with “enormous” prices increases — David Sirota fills us in.

Raising the minimum wage to $10.50 would add 5 cents to the price of a Big Mac, according to one analysis.  Another study found that raising McDonalds workers’ hourly rate to $15 would drive the price of a Big Mac up by 22 cents.

Run that by your consumer psychologist.

A recent study by Action Now and Stand Up Chicago found that  raising Chicago retail and restaurant workers’ wages to $15 an hour would cost about $100 million for a sector with $14.2 billion in yearly revenues in the city.  That’s about 2.6 percent of revenue.

“Downtown employers can afford a very significant increase in wages,” they argue.

It’s an important reality check to vague scare talk about higher prices.  That line of arguent works because it involves a “populist insinuation that higher wages would hurt the Average Joe,” according to Sirota.

Here’s another hard economic fact that deserves more attention, courtesy of the Center for Tax and Budget Accountability:  the largest, most profitable retailers in Illinois pay the lowest wages.

Read the rest of this entry »

Medicaid privatization deal called expensive, inefficient

The debate over privatization is currently playing out in a dispute over a contract with a private firm to “scrub” the state’s Medicaid rolls.

In fact, contrary to the privatizers’ claims, it looks like the deal is a huge waste of money.

Last month an arbitrator ordered a $76 million, two-year contract with Maximus Inc. cancelled by the end of the year, finding that it violated subcontracting provisions in state welfare workers’ union contract.  Maximus uses data-mining technology to identify ineligible Medicaid recipients.

Last week, the Alliance for Community Services called on the state to immediately cancel the contract, arguing it has resulted in unjustified disqualification of Medicaid recipients.

The editorial board of the Chicago Tribune, meanwhile, has called on Governor Quinn to appeal the arbitratrator’s ruling — or for the General Assembly to enact a legislative fix — saying the privatization deal is the best way to cut Medicaid costs.

But is it?

***

In a June 20 ruling, arbitrator Edwin A. Benn found that the Maximus deal violated provisions in the state’s contract with AFSCME restricting the contracting out of bargaining unit work unless there’s a clear advantage in terms of economy and efficiency.  The state hadn’t demonstrated that, he said.

Read the rest of this entry »

Teach For America alumni organize ‘resistance’

In a major step for a growing “countermovement,” Teach For America alumni and teachers are meeting at a conference here this weekend to organize “resistance to TFA’s efforts to promote corporate education reform.”

Meanwhile  CPS, which is laying off hundreds of teachers, is stepping up its financial support for the controversial organization, which provides graduates of top colleges with cursory educational training and places them in classrooms in low-income urban and rural areas.

An assembly on Organizing Resistance to Teach For America takes place Sunday, July 14, 9:30 a.m. to 12:30 p.m., at Uplift Community High School, 900 W. Wilson.  It’s part of the national Free Minds, Free People conference, aimed at “promot[ing] education as a tool for liberation.”

Among the organizers is a group of New Orleans TFAers who formed a Teachers Roundtable to foster community discussions after they realized their training hadn’t prepared them for issues of racial justice and community displacement, according to the American Prospect.

The Sunday event aims to focus the efforts of an emerging group of TFA alumni and others who are critical of the organization’s role backing privatization and the charter school movement, said Kerry Kretchmar, an assistant professor of education at Carroll University in Wisconsin.  Kretchmar was a TFA teacher-intern in New York City from 2004 to 2006.

Contributing to inequality

While TFA “uses the language of the civil rights movement” and talks about ending educational inequities, the group “perpetuates systemic inequalities”  including the lack of certified teachers in low-income urban schools, Kretchmar said.  And while it started out a quarter century ago filling teacher shortages in poor districts, today its “corps members” are replacing veteran teachers.

TFA spokesperson Becky O’Neill said in an e-mail that research “shows that corps members’ impact on student achievement exceeds that of other teachers in the same high-needs schools, even when compared with veteran and fully certified teachers.”  According to Kretchmar, peer-reviewed research doesn’t back up that claim.  (More on the question here.)

It’s a sensitive subject in Chicago, where hundreds of teachers were displaced when Mayor Emanuel closed 50 schools recently, and hundreds more are expected to lose their jobs with cuts to school budgets now under consideration.

Meanwhile, Substance reports, CPS has increased its contract for TFA to refer teacher-interns to the district from $600,000 to $1.59 million, raising the number of first-year TFAers to 325, up from 200 two years ago.

Read the rest of this entry »

Human services in the Age of Austerity

Clients and welfare workers from the state’s human services system will discuss attacks on public services coming under the guise of austerity — including a privatization contract that an artbitrator recently ordered shut down — at a public meeting Monday.

The Alliance for Community Services is sponsoring the meeting on health care and human services at 6:30 p.m, Monday, July 8, at Teamster City, 300 S. Ashland.

Ralph Martire of the Center for Tax and Budget Accountability will discuss the state’s fiscal crisis.

“The reality is, we’re not broke,” said Fran Tobin of Northside Action For Justice, one of the initiators of the alliance.  “There’s lots of wealth in the state, but our regressive revenue system is failing to tap into it.”

Human service clients and welfare workers will tell stories of difficulties caused by a chronically understaffed system, said Steve Edwards, a retired union activist.

One source of problems is a new DHS pilot program — poised for expansion — that shifts from case-based to task-based organization of office work.  Under the program, caseworkers have been shifted to “teams” devoted to specific tasks.

“You have former caseworkers — who have college degrees in specific fields and a year of additional training — spending all day opening mail,” he said.  Everyone’s work goes into a single pile, with no one responsible for the ultimate disposition of particular cases.  It means clients no longer have a caseworker who they can call to address problems.

“They’ve blown up accountability,” Edwards said.  “It looks to me like sabotage.”

“Under the rhetoric of increasing efficiency, they’re clearly making things worse,” Tobin said.  “It’s insane.”

Read the rest of this entry »

Barriers to health care for people with disabilities

People with disabilities face an array of obstacles to getting health care, and budget cuts and market-oriented “reform” of Medicaid could be making things worse.

Results from a participatory research study of the health care experiences of Medicaid beneficiaries with disabilities will be presented at a town hall meeting Thursday afternoon, with health care consumers and providers commenting on their experiences and possible solutions.

The town hall takes place Thursday, June 27, at 1:30 p.m., at Access Living, 115 West Chicago Avenue.  The study was conducted by Access Living’s health policy team and UIC’s Department of Occupational Therapy.

Relatively simple problems, like access to clinics and exam tables for people who use wheelchairs, can lead to significant gaps in care, said Marilyn Martin, policy analyst at Access Living.

Many are examined in their wheelchairs instead of on exam tables, though that’s not considered an acceptable practice, she said.  As a result, pap smears and prostate exams are often not given to people in wheelchairs.

With mammogram units that aren’t accessible for mobility-impaired patients, many people go years without cancer-detection exams — and mortality rates for breast and cervical cancer are significantly higher for people with physical disabilities, Martin said.

Read the rest of this entry »

Alternatives to school cuts

Just a month ago — when they were intent on closing 50 schools — the watchword at CPS was “quality education.”

“What we must do is ensure that the resources that some kids get, all kids get,” said Barbara Byrd-Bennett in an internet ad funded by the right-wing Walton Family Foundation.  “And these resources include libraries and access to technology and science labs and art classrooms….

“And with our consolidations we’re able to guarantee that our children will get what they need and what they deserve.”

That was then.

Raise Your Hand has released a very partial list of budget cuts faced by schools under the district’s new per-pupil funding system, and it’s impressive:

Goethe, Jamieson, Kozmisky, Sutherland, each will lose between $250,000 and $300,000.  Audobon, Belden, Gale, Grimes Fleming, and Ray, between $400,000 and $500,000.  Bell, Darwin Mitchell, Murphy, Suder, Sullivan High, betweeen $700,000 and $800,000.  Gage Park High, Lincoln Park High, Mather Elementary, Roosevelt High, $1 million or thereabouts.  Foreman High, $1.7 million.

CTU reports that Taft High School faces a $3 million cut.

According to Wendy Katten of RYH, every school they’ve contacted faces budget cuts.  So far they have figures from about 10 percent of CPS schools, and the cuts total about $45 million, she said.  (CTU budget analyst Kurt Hilgendorf said the union has requested district-wide figures on cuts but CPS has declined to supply them.)

“It’s horrific,” she said.  “There are terrible losses.”

It also clearly contravene’s Byrd-Bennett’s promise about what school consolidations would accomplish.

Losing library access

Two high schools,Von Steuben and Lincoln Park,  are reported to be considering laying off librarians — at Von Steuben it would mean no open-access library; at Lincoln Park, the library would remain open part of the school day but not after school — but many more principals are being forced to choose between staffing their libraries and having enough teachers.

At many schools it will mean  eliminating art or music.  At Katten’s son’s school, it looks like art will be eliminated and physical education will be staffed by a part-time teacher — which means gym just twice a week, far below the state requirement.

Read the rest of this entry »

New city housing plan downplaying affordability?

While the proportion of Chicago residents challenged by housing costs has surged in the past decade — half of all renters and homeowners are now officially “housing cost-burdened” — the city has apparently dropped the word “affordable” from its next five-year housing plan.

This odd and unexplained omission was widely commented on at a recent gathering of South Side housing activists, called by the Chicago Rehab Network to foster discussion and generate interest in the city plan.

“I am concerned about them taking the word ‘affordable’ out as if it were something to be ashamed of,” said Mattie Butler of Woodlawn East Community and Neighbors.

“Affordability is not just for people with subsidies,” she added — particularly since the city continues to measure affordability by the regional median income of $75,000 (as of 2010); the median income in the city is under $47,000.

(A Newstip on CHA demolitions last year pointed out that the large bulk of the city’s “affordable housing” production is targeted well above the lower reaches of the income range –indeed,  much of it above the city’s median income.)

“The city has dropped the word ‘affordable,’ but we have to make sure that affordability continues to be the focus of the plan,” said Janet Smith of UIC’s Voorhees Center.

She presented an overview of housing issues in Chicago as “a tale of two cities,” with thousands of high-end rental units under construction around the Loop while neighborhoods continue to be ravaged by the foreclosure crisis — and housing becomes less and less affordable.

Between 2000 and 2010, the proportion of renters paying over a third of their income for housing — the federal standard for “cost-burdened” — rose by 32.5 percent, and the proportion of homeowners who are cost-burdened rose by an astonishing 78 percent, she said.  (See CRN’s new City of Chicago Housing Fact Sheet.)

Read the rest of this entry »

Detective Guevara takes the Fifth

The Sun-Times reports that former detective Reynaldo Guervara repeatedly invoked the Fifth Amendment in a hearing on a motion to overturn the murder convictions of two men.

A plaintiffs’ attorney told reporters Guevara has tainted several local cases — in terms of quantity, making disgraced police commander Jon Burge “look like small potatoes.”

There’s lots more to the Guevara story.

In June 2009, Newstips reported on a unique “patterns and practices” claim made in by lawyers representing Gabriel Solache, who was sentenced to life in prison following a 2000 murder conviction based on Guevara’s investigation.

While such claims — charging the Chicago Police Department with failing to rein in  police misconduct — are generally based on departmental patterns, this one was based solely on charges of misconduct against a single detective: Reynaldo Guevara.

Solache’s motion included trial testimony and depositions alleging 40 instances of misconduct by Guevara alone, including violence, threats of criminal charges, and threats to parents that their children would be taken by DCFS.  Solache’s case went to trial last month.

That post also cited an FBI report in which an informant charged that Guevara took money to fix murder cases.  Details here.

Read the rest of this entry »



Get Newstips in Your Inbox!

Enter your email address:


Subscribe in a reader

Newstips Archives

Categories

Add to Technorati Favorites

RSS Nonprofit Communicator

  • An error has occurred, which probably means the feed is down. Try again later.

RSS Chicago is the World

  • Telling people’s stories, an ethnic media success September 2, 2015
        By Stephen Franklin Community Media Workshop   A 3-year-old child died on a plane from Chicago to Poland. This, Magdalena Pantelis instantly knew, was a story her readers would care about. But she needed more detail to write about it for the Polish Daily News, the nation’s oldest daily newspaper in Polish, founded Jan. […]
*

*

*



*










CAN TV is a network that belongs to the people of Chicago.  For updates on local programs, and live, timely coverage of community events, sign up at http://www.cantv.org