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Dan Walters: Schwarzenegger declares war on the powerful public worker unions

By Dan Walters -- Bee Columnist
Published 2:15 am PST Friday, January 7, 2005

When Jerry Brown signed legislation extending collective bargaining rights to California's public employees nearly 30 years ago, it couldn't have come at a better time for the state's labor unions.

The California economy was undergoing a fundamental change, moving away from heavily unionized manufacturing and toward a post-industrial mode, centered on trade and technology, not conducive to unionization.

The rapid expansion of unions representing state and local government and school district employees offset the decline of private sector unionization in the 1980s and 1990s, so much so that the entire labor movement in California became dominated by the public worker unions. And by their nature, the California State Employees' Association, the California Teachers Association and the California Correctional Peace Officers Association were much more politically motivated than private sector unions had been.

Since the public unions would be negotiating contracts with elected officeholders at state and local levels - and seeking pension enhancements and other benefits outside the contract process - they had a powerful motivation to elect as many union-friendly governors, state legislators, mayors, City Council members, county supervisors, and school and special district trustees as possible.

Expansion of public unionization coincided with passage of Proposition 13, the 1978 ballot measure that capped local government and school district property taxes. As local governments lost their power to set property tax rates, interest among local business and civic leaders in their affairs waned, and unions stepped into the vacuum. And as the financing of schools and county governments shifted to Sacramento, unions ramped up their involvement at the state level.

As hundreds of millions of dollars in union dues from public sector workers flowed to candidates who pledged their fidelity - many recruited directly from union ranks - the unions became hegemonic within the state Democratic Party, and union leaders such as longtime prison union chief Don Novey achieved life-and-death power over the careers of aspiring politicians.

While the public unions achieved major gains, their ambitions were somewhat stymied during the 16 years that Republicans held the governorship after Brown departed. Police and fire unions could not, for example, gain the binding arbitration on contract disputes that had long been their top political goal. And Republican Gov. Pete Wilson, who fought with the unions constantly, sponsored an unsuccessful ballot measure as he was leaving the governorship in 1998 to directly curb the unions' ability to spend union dues on friendly politicians.

Gray Davis' election as governor in 1998 changed the political chemistry. Davis was a Democrat in whom many of the public unions had invested heavily, and he reciprocated consistently during his five-year governorship, including the aforementioned binding arbitration for local police and fire unions, sharp increases in pension benefits, and lavish contracts for prison workers.

The ambience changed again in 2003 when Davis was recalled and Republican Arnold Schwarzenegger was elected as his successor - and just how dramatic the shift was, from the unions' standpoint, became apparent Wednesday night when Schwarzenegger unveiled four "government reform" measures that he said he'll take to the ballot if the Legislature refuses to enact them.

All four would strike deeply into the guts of public employee unionism - such things as merit pay for teachers, expanded authorization for charter schools, replacing state pension programs with a 401(k)-like system, imposing automatic cuts on state spending that exceeds revenues, and changing legislative districts that bolster union clout in the Capitol. In addition, he proposed reforms for the state prison system aimed, he said, at reducing union influence.

The looming political war over Schwarzenegger's sweeping proposals will have many aspects, but at its heart, it represents a huge attack on public worker unions by the most popular governor in recent history.

"I say it's war," one Democratic staffer said in an e-mail Thursday. "And I say, let's fight."

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