June 30, 2014

QUOTE OF THE DAY

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Politico: Big unions could take big SCOTUS hit

Public-sector unions are bracing for a Supreme Court decision Monday that could deal a major blow to their wealth and political clout.

Union leaders fear that conservative justices will use the case, Harris v. Quinn, to strike down laws in 26 states requiring teachers, police officers, firefighters and other public-sector employees to pay dues to the unions that negotiate contracts on their behalf, even if the workers don’t want to become union members.

A sweeping decision could decimate union membership and finances — and would come at a time when unions already are besieged and struggling to keep up their numbers. Just 11 percent of wage and salaried workers were union members in 2013, down from 20 percent in 1983, according to the Bureau of Labor Statistics.

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Journal Star: Proposal to consolidate funds not gaining traction

Despite local leaders making multiple appearances at the Illinois State Capitol this spring to call for further reforms to local police and fire pensions, the legislature adjourned last month without taking any action.

One widely discussed proposal, which has the backing of the Illinois Municipal League, is transferring responsibility of managing retirement fund assets from the more than 600 local pension boards to the statewide Illinois Municipal Retirement Fund.

Many consider IMRF, which manages retirement plans for many local government employees other than police officers and firefighters, to be the “gold standard” of public pension funds in Illinois.

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Daily Herald: Minimum wage issue pits franchisees against cities

Hundreds of franchisees are learning they’re not small businesses, at least in the eyes of city government.

A new law that will raise Seattle’s minimum wage to $15 from the current $9.32 gives small businesses more time to phase in the 61 percent increase — seven years versus three for large companies. But franchisees, which have ties to bigger corporations like restaurant chain Denny’s, Dunkin’ Donuts and Merry Maids won’t get the reprieve even if they have just a handful of workers.

It’s an issue that could affect thousands more businesses in cities where campaigns for a higher minimum wage are underway. In Chicago, lawmakers have proposed a similar measure that would exempt small businesses but not franchise restaurants. Franchise owners say the laws will sharply increase their payroll costs, and threaten to make them less competitive with independent businesses that won’t have to comply — and that they could be forced to raise prices and cut jobs.

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Chicago Tribune: Illinois ballot measures lose court challenge

“In all, precedent dictates a very narrow provision for allowing the voters to directly enact amendments to the Illinois Constitution of 1970.” — Cook County Circuit Judge Mary Mikva

Citizens of Illinois: Your constitution is stacked against you. And there’s not much you can do about it.

Judge Mary Mikva made that official on Friday, invalidating two voter-driven amendments aimed at the Nov. 4 ballot.

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CARTOON OF THE DAY

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