5/24/2011

An Important Vote Imminent In New Hampshire

On Wednesday an important vote takes place in the New Hampshire House, one that may well change the course the Granite State been following the previous 4 years.

Some time tomorrow the House is supposed to vote on overriding Governor John Lynch's veto of House Bill 474, the Right To Work bill. The bill originally passed in both the House and the Senate with overwhelming majorities, though the original House vote was just 14 votes shy of a veto-proof majority.

However, House Majority leader William O'Brien may delay Wednesday's vote long enough to lock in the last votes he'll need to override the veto.

HB 474 supporters say the state will see a burst of job growth if the bill becomes law, and point to other right-to-work states as proof. Critics say right-to-work brings lower-paying jobs with fewer benefits, and that it sticks the nose of government into contract talks between labor and management.

If HB 474 becomes law, New Hampshire would be the 23rd state, and the first in the Northeast, to adopt the principle.

A lot of pro-union folks point to the “lower-paying jobs with fewer benefits” canard as if that explains everything and no further discussion is required. However, most of the 22 Right To Work states have a lower cost of living, so unless that factor is taken into account, which union supporters choose to ignore, the comparison is meaningless. As I've mentioned before, a perfect example of this factor can be seen in the battle between the NLRB and the state of South Carolina and Boeing.

The unions in Washington State claim Boeing's new plant is denying the working men and women a living wage. While the pay for those employees in South Carolina is less than the pay of the union workers in Washington, the cost of living in South Carolina is also lower (as is the cost of doing business), which implies that taken as a whole, the workers in South Carolina are receiving comparable pay to those in Washington State.

And so it might be here in New Hampshire as well. If it helps lower the cost of doing business, then Right To Work will help lure more businesses from high cost states like Massachusetts, New York, Connecticut, and Rhode Island, just to name a few. (It doesn't hurt that New Hampshire also has no sales or income tax.)

The days of forced financial support of unions by those not wishing to do so must come to an end. As the reasons for the existence of unions no longer exist, maybe it's time for them to fade away into history.