Showing posts with label corporate greed. Show all posts
Showing posts with label corporate greed. Show all posts

Tuesday, July 30, 2013

Patriots Expose Another Conservative Lie, Low Wage Jobs Do Not Lead To Management Positions












Patriots Expose Another Conservative Lie, Low Wage Jobs Do Not Lead To Management Positions

Entry-level jobs in the fast food business are far more likely to be dead ends than stepping stones to higher-level work, according to new data from the National Employment Law Project. Less than 9 percent of fast food employees are supervisors, and just 2.2 percent hold managerial, professional, or technical jobs.

The remaining 89.1 percent of fast food workers – 3.6 million Americans – earn a median pay rate of $8.94 per hour.

A 40-hour work week, every single week of the year without time off would therefore earn the median front-line fast food worker $18,595 before taxes – right on the cusp of poverty for a family of three. The think tank Demos, using a more realistic accounting of days off and family expenses, has calculated that anything under $12 per hour is insufficient to support a family. That may explain why a McDonald’s website meant to help workers budget recommends they get a second job and why fast food workers in more than half a dozen major cities are striking to demand a livable wage.

NELP notes that fast food companies defend their treatment of workers by depicting cashier and fry cook jobs as the first step on the path to economic mobility. Indeed, in looking at the overall economy it makes sense to think of entry-level jobs as dues-paying stages on the way to the front office. That’s because a third of employees in the whole economy hold managerial, technical, professional, or workplace supervisory roles. The nearly nine-to-one ratio of worker bees to higher-level employees in fast food doesn’t add up:

And it isn’t just that there are hundreds of frontline workers for every franchise owner, leaving very little room for new entrants to the top level of fast food entrepreneurship. It’s that fast food chains require their franchisees to be quite wealthy before they ever purchase a store. In order to be considered for franchise ownership at Wendy’s, applicants must show a net worth of $5 million. KFC, Taco Bell, Burger King, and Jack in the Box set their minimums at $1.5 million. At the low end, Subway requires net worth of $80,000 for franchisees. That means the hypothetical front-line fast food worker from the example above, who never takes a day off, could be eligible to apply for a Subway franchise after 20 years if she somehow saved more than 20 percent of her earnings every year.

Fast food companies aren’t alone in justifying their low wages and treatment of workers by citing opportunities for advancement that almost none of their employees will ever reach. As the Columbia Journalism Review recently noted, such claims are a key piece of Walmart’s public relations strategy.
 These large coporations do not pay their employees a fair share of the revenue generated by those employees because they pay the excetives huge salaries and pay share holders - which are predominantly also wealthy- large proceeds. McDonalds, Hobby Lobby and Walmart are stealing from employees to make themselves filthy rich.

Saturday, June 29, 2013

Time To End The Conservative Nanny State for America’s Tax-Dodging Corporations


















Time To End The Conservative Nanny State for America’s Tax-Dodging Corporations

A judicious writer avoids adjectives like “mindblowing,” especially when covering political or economic issues. But no other word seems to describe the stunning reality of corporate taxation in modern America, which cries out for the italics-heavy, exclamation-point-driven format made famous by Ripley’s Believe It or Not.

Stylistic overkill? Read these thirteen facts and you may change your mind.

1. We’re told we can’t “afford” full Social Security benefits, even though closing corporate tax-haven loopholes would pay for Obama’s “chained CPI” benefit cut more than ten times over!

Abusive offshore tax havens cost the US $150 billion in lost tax revenue every year (via FACT Coalition). That’s $1.5 trillion over the next ten years.

The “chained CPI” cut, proposed by President Obama and supported by Republicans, is projected to “save” a total of $122 billion to $130 billion over the same time period by denying benefits to seniors and disabled people.

It’s true. “Serious” politicians and pundits are demanding that ordinary people sacrifice earned benefits, while at the same time allowing corporations to avoid more than ten times as much in taxes.

2. Corporate tax rates are near their 60-year low, even though profits are at a 60-year high!

Need we say more?

(Source: Americans for Tax Fairness.)

3. Wells Fargo got $8 billion in tax breaks, even as executives at its subsidiary Wachovia avoided indictment for laundering money for the Mexican drug cartels!

That’s right. Wells Fargo paid a negative tax rate of -1.4 percent between 2008 and 2010 while Wachovia, a Wells Fargo subsidiary, admitted to laundering more than $378 billion for Mexican drug gangs.

We’re talking about crazed killers like “El Loco” and gangs like “Los Zetas” – gangs who cut people’s heads off and toss them out onto disco dance floors or display them in the town square.

Wachovia bankers ignored repeated warnings from law enforcement officials, and continued to launder money for cartels that have murdered tens of thousands.

And yet no criminal indictments were handed down because, as a Senate investigator told Bloomberg News, “”There’s no capacity to regulate or punish them because they’re too big to be threatened with failure.”

4. Some other huge corporations paid less than nothing, too.

Pepco Holdings (-57.6% tax rate)
General Electric (-45.3%)
DuPont (-3.4%)
Verizon (-2.9%)
Boeing (-1.8%)
Honeywell (-0.7%)

(Source: Citizens for Tax Justice)

5. The amount of money US corporations are holding offshore is an estimated one trillion dollars!

Rather than tax these profits the way other countries do, corporate politicians are promoting a tax “repatriation” break that would let corporations “bring this money home” while paying even less than their currently low rates.

They tried that in 2004 and it didn’t create any jobs. In fact, corporations took the tax break and then fired thousands of people. What “repatriation” did do is line a lot of wealthy investors’ pockets.

So, naturally, they want to do it again.

6. One building in the Cayman Islands is the official location of 18,857 corporations!

According to the Government Accountability Office, a five-story building called “Ugland House” is home to nearly twenty thousand corporations. That’s impressive, especially for such a small edifice. (Perhaps it has supernatural half-floors and space-time defying “mind tunnels” like the office in Being John Malkovich.)

While impressive, Ugland House’s distinction pales next to that of 1209 North Orange Street in Wilmington, Delaware. According to one investigation, that address is home to 217,000 corporations.

That’s because Delaware has very generous tax rules – and, as a result, is home to more than half of all the corporate subsidiaries in the United States.That’s startling, since only 1/342th of the nation’s population lives in that state (917,092 residents, out of a national total of 313,914,040, according to the latest census results).

7. Conservatives complain about the “official” corporate tax rate in this country, but corporations actually pay roughly one-third of the official rate in actual taxes.

The official, or “statutory,” corporate tax rate is 35 percent. But the actual rate paid by American corporations is only 12 percent, less than that paid by many middle-class Americans.

(Source: The FACT Coalition.)

In fact, US Corporations pay less tax as a percentage of the GDP than corporations in Canada. Or Japan …

… or South Korea. Or Norway. Or Luxembourg, New Zealand, Israel, the Czech Republic, Sweden, Belgium, Switzerland, the United Kingdom, Denmark, Finland, and Italy.

(Source: OECD StatsExtract interactive database.)

8. Corporations used to pay 30 percent of Federal taxes, and now they pay less than 7 percent!

That’s because the corporate tax rate has plunged since Dwight D. Eisenhower was President and is now the lowest it’s been in modern history.

(Source: FACT Coalition.)

9. Big corporations paid $216 million to Congress and got $223 billion in tax breaks!

As Citizens for Tax Justice and USPIRG reported, 280 large and profitable corporations contributed $216 million to Congressional campaigns over four election cycles and got nearly a quarter of a trillion dollars in tax breaks.

That’s a terrific investment for them – a return of more than a thousand to one – but it’s a bad deal for the American people.

10. We don’t even know who owns some corporations, even though that makes it easier to evade taxes, dodge creditors, avoid paying alimony or child support, and even fund terrorism!

Here are some examples of investments that might represent a terror threat. Corporate interests are blocking disclosure rules that would help protect our national security.

11. Bank of America committed foreclosure fraud, was bailed out by the government, and then paid no taxes on $4.4 billion in profit!

That’s right. In 2010, while BofA was negotiating a sweet settlement deal for its foreclosure fraud, it paid nothing in taxes. (Source: FACT Coalition.) Zero, on $17.2 billion in offshore earnings. (Source: Americans for Tax Fairness.)

Its $4.1 billion tax break came on the heels of the bank’s taxpayer-funded bailout, immunity from prosecution for its criminal employees, and a cushy government settlement for its foreclosure fraud.

Now David Dayen reports that the bank has apparently continued to defraud customers in violation of its government settlement. Whistleblowers have stated in affidavits that they were “told to lie” to customers, continued to deceive homeowners before foreclosing on them, and flipped customers to new servicing companies to invalidate previous homeowner agreements.

12. What they call “tax reform” would actually prevent our elected representatives from giving businesses financial incentives to improve our lives!

The word “reform” is an honorable one that’s been put to some dishonorable uses lately. “Entitlement reform,” for example, is merely a euphemism for gutting Social Security and Medicare.

Similarly, corporate-backed politicians are pushing a formula for permanent corporate tax breaks and calling it “tax reform.” They insist their “reform” be “revenue neutral” and say it will “broaden the base while lowering the rate.”

Here’s an English translation: The current, unsustainably low rates for corporations would be made permanent, while eliminating many tax deductions in the name of “simplification.”

Here’s what that really means: The domestic tax credit for creating jobs? Gone. Tax breaks for protecting the environment with clean energy, rather than harming other people’s health and leaving a mess for the rest of us to clean up? Gone.

All in all we’d lose dozens of important policies that make our lives better, while permanently fixing corporate taxes at today’s cushy giveaway rates.

“Reform”? Ripoff is more like it.

13. Despite their greed, mismanagement, and freeloading, tax-dodging corporations are using shell organizations like “Fix the Debt” and “the Committee for a Responsible Federal Budget” to tell ordinary Americans they have to sacrifice even more to preserve corporate wealth!

These organizations are using the heads of failed banks – people like Chase’s Jamie Dimon and Lloyd Blankfein of Goldman Sachs – to dispense “advice on the economy.” That’s like getting navigation tips from the captain of the Exxon Valdez.

(Tax breaks for Exxon Mobil: $4.1 billion between 2008 and 2010. The company paid no taxes at all in 2009.)

These executives and their paid spokespeople tell the rest of us we need to “sacrifice” and “tighten our belts” so that their party can go on forever. And too often they’re treated as credible sources, rather than as corrupting influences on our public life.

It’s all true – and there are many more astonishing facts to be found in the world of corporate taxation. To fix the economy more people will need to learn about them – and demand that they be changed.

The writer and analyst in me wants to apologize for all the italicizing and all those exclamation points. But the American citizen in me wants to shout the truth out for all the world to hear – believe it or not!

Richard (RJ) Eskow is a well-known blogger and writer, a former Wall Street executive, an experienced consultant, and a former musician. He has experience in health insurance and economics, occupational health, benefits, risk management, finance, and information technology. Richard has consulting experience in the US and over 20 countries.

Yet conservatives and libertarians keep telling us, over and over again, that if we just lower taxes and let corporations pay people a dollar an hour, they'll be able to afford to hire everyone who wants a job. That vision of America is not much better than the plantation model of the Antebellum South. How many Americans want to live their lives on corporate plantations. How is that capitalism or the incentive to work hard and get ahead. The game is rigged where low and moderate income Americans cannot get ahead. Conservatives like it that way because they want all the power in the hands of the elite, and in the U.S. money equals power.

Sunday, June 23, 2013

UnAmerican Culture of Conservatism Exposed at Morally Corrupt Bank of America













UnAmerican Culture of Conservatism Exposed at Morally Corrupt Bank of America

Just when we thought the big banks couldn’t hit a new low, they did.

Six former employees of Bank of America have come forward, alleging that the big bank intentionally denied eligible homeowners mortgage loan modifications, and lied to those homeowners about the status of their mortgage payments and documents.

Bank of America allegedly used these dirty tactics to lead homeowners into foreclosures and in-house loan modifications, both of which helped reap massive profits for BOA’s bottom-line.

The employees who have come forward have also said that the big bank rewarded customer service representatives with hefty cash bonuses and gift cards to popular stores when they foreclosed on homes.

According to a lawsuit filed in federal court, a Bank of America employee who placed ten or more mortgage accounts into foreclosure a month could get up to a $500 bonus.

The lawsuit also alleges that the bank punished representatives who did not hit foreclosure target numbers or who objected to the bank’s tactics. In some cases, those employees who didn’t foreclose on enough people were fired.

This latest jaw-dropper out of Bank of America comes just days after it was revealed that the bank was also using deceptive mailers and sales pitches to sell consumers on mortgage refinancing plans that could actually add tens of thousands of dollars to the cost of a borrower’s loan.

Despite these latest revelations about foreclosure targets, lies and dirty tactics, nobody at Bank of America is worried about going to jail.

That’s because our elected lawmakers in Washington, particularly Republican lawmakers, are scared straight by the idea of going after the big banks and going after corporate America.

Yet, these same lawmakers are just fine going after the big bad government, especially when it comes to things like the IRS controversy.

But, let’s look at the parallels between the IRS controversy and the latest news coming out of Bank of America.

With the IRS controversy, IRS agents deliberately went after and applied higher scrutiny towards potentially political organizations, liberal and conservative, applying for 501c3 tax-exempt status.

At Bank of America, employees allegedly intentionally denied eligible homeowners loan modifications, and pushed them into foreclosure to get a bonus.

With the IRS scandal, one IRS official took the fifth when testifying before Congress, but is the subject of both a criminal and an internal investigation.

At Bank of America, it’s alleged that customer service representatives were rewarded for lying to homeowners about the status of their mortgage payments and documents.

Despite the obvious similarities between these two scenarios, only one is being investigated loudly and publicly by Congress; The IRS controversy.

So, why is Congress willing to go to the ends of the earth to get to the bottom of the IRS scandal, but refusing to lift a finger when it comes to investigating America’s big banks?

Could it be that employees of the IRS do not make multimillion dollar campaign contributions to members of Congress?

Could it be that employees of the IRS don’t spend hundreds of millions of dollars on lobbying?

And even the media, which is supposed to be an impartial and unbiased source of news and information, is afraid to go after big banks when they commit crimes.

The media would rather drag on ad nauseum about manufactured witch hunts like the IRS controversy, than discuss how the big banks, which American taxpayers have already saved once, are back up to their same old dirty tricks, and threatening to bring down the entire American economy once again.
 One of the reasons the banks are likely to get off is that to do so would appear to be anti-business. Ever hear the word pro-business from conservative Republicans and conservative Democrats. That is code for letting big business do whatever it wants. If you are pro regulation that protects consumers, tax payers and small investors - in this conservative culture you are defined as a raging commie. How did that framing of issues happen. Most of the media is owned by big corporations. The media gets it's revenue from big corporations. So the media never or at least seldom ever holds a politicians accountable for what they mean when they claim that regulations which protect ordinary Americans is somehow anti-business.

Sunday, April 14, 2013

If You Love The USA You Should Demand Millionaires Pay Their Fair Share

















If You Love The USA You Should Demand Millionaires Pay Their Fair Share

President Barack Obama’s new budget proposal, released Wednesday, would raise $16 billion in revenue over 10 years by getting rid of one of the ways millionaires and billionaires pay lower taxes than their secretaries. It's called the carried interest tax break, and it allows the wealthy to pay a lower rate on some of their income. But ending the carried interest exception will be tough, and not just because a budget compromise with Republicans is unlikely: Previous proposed legislation to kill the tax break was riddled with loopholes.

The carried interest tax break works by letting private equity and hedge fund managers treat some of the income they earn from managing clients' portfolios as if they had invested it themselves. That allows folks like Mitt Romney to pay a 20 percent investment income tax rate on their money management fees, instead of the normal 39.6 percent tax rate on earned income. This special rich person perk costs the government some $1.3 billion a year. That's one reason why Obama and many Democrats slam the tax break as unfair and have targeted it for repeal.

"There continues to be no rationale whatsoever for people to pay at a vastly lower tax rate when they are managing other people’s money," Rep. Sander Levin (D-Mich.), who has introduced all of the carried interest legislation in past years, said in an email. "This is an issue of fairness that we should address as we seek a balanced approach to deficit reduction that involves both additional revenues and spending cuts."

But getting rid of the tax break may not be such an easy task, given the tortuous history of the movement to deep-six it. The fight against carried interest is Levin's baby. He first introduced a bill to ax the loophole in 2007, and has introduced two more versions since then, all of which have stalled.

"It's rather unusual that this legislation hung out there for so many years," says Steve Rosenthal, a fellow at the Tax Policy Center. That's due to the "pretty effective job" that the trillion-dollar private equity industry has done in "confusing and delaying legislation," he says.

Rosenthal says that so much damage has been done to the legislation over the years that he has no faith in the effectiveness of whatever nominal repeal legislation eventually does get into a compromise budget bill—if there ever is one.

First of all, he notes, it's unclear whether the entirety of an executive's carried interest income would be subject to the higher tax rate. Rosenthal says some versions of the bill have only called for raising taxes on 75 percent of it.

Rosenthal says the most recent legislation also includes a loophole that would allow private equity firms, which are usually organized as limited partnerships, to convert themselves into a special kind of small business entity, which would allow them to avoid the carried interest tax hike.

And if Levin's most recent legislation passes, private equity managers would also be exempt in certain cases from a higher carried interest rate on the profit from selling part of their own interest in the firm.

"The carried interest lobbying effort has been a scandal," Rosenthal says.
This insanity where the American people reward wealth and punish work could end in a week. All it would take, and it is asking a lot apparently, is for a few million patriotic Americans to send a postcard to their Senator and representative. They can't ignore the overwhelming wished of working class Americans who want the filthy rich to start paying back society for providing them with roads, firefighters, the world's best military and other infrastructure - that makes their wealth even possible.

Friday, April 12, 2013

American Patriots Know That Federal Income Taxes on Middle-Income Americans Near Historic Lows


















American Patriots Know That Federal Income Taxes on Middle-Income Americans Near Historic Lows

Federal taxes on middle-income Americans are near historic lows, our updated report explains, and that’s true whether you’re talking about federal income taxes or all federal taxes.

When it comes to income taxes, a family of four in the exact middle of the income spectrum will pay only 5.3 percent of its 2013 income in federal income taxes next year, according to a new analysis by the Urban-Brookings Tax Policy Center.

Average income tax rates for these typical families have been lower during the Bush and Obama Administrations than at any time since the 1950s (see graph).  Taxes were particularly low from 2008 to 2010 because of the Recovery Rebate Credit and the Making Work Pay Tax Credit, which have since expired.

When it comes to overall federal taxes, households in the middle fifth of the income spectrum paid an average of 11.1 percent of their income in taxes in 2009, the latest year for which data are available, according to the Congressional Budget Office (CBO).  This is the lowest on record in data that go back to 1979.
When CBO publishes data for more recent years (such as 2013), overall federal average tax rates on this middle group will likely be higher — though still low historically — because they will reflect the expiration of Making Work Pay and other temporary tax cuts, including the payroll tax cut that expired at the end of last year.

The expiration of the payroll tax cut is the biggest tax change for most people in 2013.  As this table shows, the tax cut helped workers in a wide range of income groups, and its expiration is a key contributor to the slowdown in economic growth that CBO forecasts for 2013.

Yet those wacky conservatives keep claiming that we have to keep large tax cuts for wealthy corporations and billionaires to stimulate economic growth, or have new tax cuts. There is no relationship between low taxes for those skimming huge profits off the backs of American workers. Why are cons lying about taxes. They want to starve thew government safety net - Medicare, Social Security, workmen's comp, unemployment insurance  - pretty much anything that does not fire a missile. The reason we safety net is because history shows us that markets are often good and create wealth, but they are not perfect - as any adult who was around in 2007 will know. The U.S. and it's imperfect markets have a long history. Patriots learn from history, conservatives either rewrite it or pretend it didn't happen.

Wednesday, April 10, 2013

Evil is Restless, Monsanto's Next Target is the Destruction of American Democracy


















Evil is Restless, Monsanto's Next Target is the Destruction of American Democracy

Big Food’s greatest fear is materializing. A critical mass of educated consumers, food and natural health activists are organizing a powerful movement that could well overthrow North America’s trillion-dollar junk food empire. Savvy and more determined than ever, activists are zeroing in on the Achilles heel of Food Inc. -- labeling.

But as consumers demand truth and greater transparency in labeling, it isn’t just Big Food whose empire is vulnerable. The biotech industry, which makes billions supplying junk food manufacturers with cheap, genetically engineered (GE) ingredients, has even more to lose. Monsanto knows that if food producers are forced to label the genetically modified organisms (GMOs) in their food products, they’ll reformulate those products to meet consumer demand for GMO-free alternatives. That’s why companies like Monsanto, DuPont and Dow, along with Coca-Cola and Pepsi, last year spent more than $46 million to defeat Proposition 37, California’s GMO labeling initiative.

The junk food and biotech industries narrowly (48.5% - 51.5%) prevailed in California, but they know it’s only a matter of time before one or more states pass a mandatory GMO labeling law. More than 30 state legislatures are now debating GMO labeling bills. And consumers have broadened the fight [4] beyond just labeling. Five counties and two cities in California and Washington have banned the growing of GE crops. In addition, given the near total absence of FDA regulation, 19 states have passed laws restricting GMOs [4].

How is the biotech industry fighting back? By attacking democracy.  Experts say the laws are on the side of consumers. But consumers will no doubt still have to defend democracy against an increasingly desperate, and aggressive, industry bent on protecting the highly profitable business of genetically engineered food.

The battle lines have been drawn. Will we cede our food sovereignty rights to a profit-at-all costs corporatocracy?

Monsanto’s lobbyists are out in force in Washington, Vermont, Connecticut, and several dozen other states. They’re lobbying politicians behind the scenes and planting misleading articles [5] in the press. Attacking pro-labeling anti-GMO proponents as anti-technology Luddites.  They’re repeating ad nauseum their propaganda claims that GE foods and crops are perfectly safe and therefore need no labeling, that transgenics are environment- and climate-friendly, and that genetically modified crops are necessary to feed the world.

One of Monsanto’s major propaganda points, designed to discourage state officials from passing GMO labeling laws, is that state GMO labeling is unconstitutional. Monsanto has repeatedly stated that it will sue any state that dares to label. This threat of a lawsuit was enough to convince lawmakers in Vermont and Connecticut in 2012 to back off [6] from labeling, even though there were sufficient votes, and overwhelming public sentiment, to pass these bills.

The same scenario [7] is unfolding again [7] in Vermont, where the Governor is refusing to endorse a popular labeling bill that could easily pass through both houses of the legislature.

Biotech industry lawyers claim that Federal courts will strike down mandatory state GMO labeling for three reasons: 1)because Federal law, in this case FDA regulations, preempts state law; 2) because commercial free speech allows corporations to remain silent on whether or not their products are genetically engineered and; 3) because GMO labeling would interfere with interstate commerce.

These claims simply don’t hold up. State GMO labeling, and other food safety and food labeling laws, are constitutional. Federal law, upheld for decades by federal court legal decisions, allows states to pass laws relating food safety or food labels when the FDA has no prior regulations or prohibitions in place. There is currently no federal law or FDA regulation on GMO labeling, except for a guidance statement on voluntary labeling, nor is there any federal prohibition on state GMO or other food safety labeling laws. In fact there are over 200 state food labeling laws in effect right now in the U.S., including a GMO fish labeling law in Alaska, laws on labeling wild rice, maple syrup, dairy quality, kosher products, and laws on labeling dairy products as rBGH-free. It is very unlikely that any federal court will want to make a sweeping ruling that would nullify 200 preexisting state laws.

U.S. case law does indicate that commercial free speech in certain instances allows corporations to remain silent about what’s in their products. However federal courts have consistently ruled that when there are compelling state interests -- health, environment, economic -- states can require corporations to divulge what’s in their products or how they were produced.

When it comes to GMOs, states can clearly make the case for compelling state interests, according to Consumer Union’s senior scientist, Michael Hansen. Hansen says: “...there is a compelling state interest in labeling of genetically engineered foods and that is due to the potential human health and environmental impacts of genetically engineered foods.”

Hansen also argues that Codex Alimentarius,  a collection of internationally recognized standards, codes of practice, guidelines and other recommendations relating to foods, food production and food safety, guarantees nations the right to implement mandatory labeling of GMO foods. The standards support the argument that GMO labels do not constitute a restriction of free trade, as long as they are applied to both domestic and international producers.  Similarly state GMO labels, as long as they do not discriminate against particular producers, but rather apply to all producers -- state, national, and international -- do not constitute a restriction of interstate commerce.

The U.S. government, under massive global pressure, has signed on to the Codex Alimentarius, which serves "as a risk management measure to deal with the scientific uncertainty" associated with genetically engineered foods. And according to Hansen, there most certainly is significant scientific uncertainty [8] about the potential health impacts of genetically engineered foods.”

States and localities have the right and the power to pass their own legislation, especially when the federal government fails or refuses to act on matters of compelling interest. Although large corporations now control the federal government, we still have room to organize and govern ourselves, especially at the local level.

“Home rule,” embedded in state constitutions and municipal charters across the U.S., provides the legal basis that has enabled several hundred cities and counties to pass ordinances banning factory farms, the spreading of sewage sludge on farmlands, fracking (which pollutes groundwater, farms and gardens), and even GMOs.

Yet undeterred by 200 years of case law and legislation institutionalizing states’ rights and local “Home Rule,” corporations are brazenly attacking the rights of states and localities to regulate Corporate America’s often reckless and criminal behavior.  They’re getting help from the infamous pro-corporate lobbying group, the American Legislative Exchange Council (ALEC). ALEC [9]is lobbying states across the country to restrict counties or local governments from passing any laws limiting pesticide use, GMOs, fracking, or industrial agriculture practices.
So corporations do not have human rights, they have super human rights. or so they seem to think. Let's say that all genetically modified foods are safe, how could labeling them - thus giving people a choice interfere with Monsanto's ability to do business. That is unless they know that some people do not want to gamble their lives or the lives of their children on what a corporation says is safe.

Former Tenn. Vice-Mayor William Blakely Allegedly Drove 90 MPH While Masturbating Out Window

According to Monsanto corporations never lie, Former Walmart District Manager Accuses Company of Widespread Inventory Manipulation

Thursday, April 4, 2013

The Patriotic Truth About Middle-Class Taxes and Corporations















The Patriotic Truth About Middle-Class Taxes and Corporations

Transplanting Taxes from Corporations to the Rest of Us
American taxpayers are increasingly picking up the tab for unpaid corporate taxes.

Today, corporate profits are setting all-time records while middle class families continue to struggle financially. These trends are intertwined.

Whether you’ve clicked to send your tax forms to the IRS along the cyber-highway or dropped your return in the old-fashioned blue mailbox, you’ll be paying extra to cover the growing amount of taxes that the nation’s clever corporations are shunting onto individual taxpayers.

Officially, the U.S. corporate tax rate stands at 35 percent, but in practice it’s far lower. Corporations have lots of tricks in their box of tax-avoidance tools.

In the 1950s, corporations paid nearly a third of the federal government’s bills. Last year, thanks to the antics of Pfizer and other examples of overly creative accounting, corporate income taxes accounted for less than a tenth of Uncle Sam’s total revenue.

Consider Pfizer’s track record. The drugmaker increased its offshore profits by $10 billion in 2012, boosting its offshore stash to $73 billion — all of it untaxed by Uncle Sam. Like most pharmaceutical companies, Pfizer registers its patents in a low-tax offshore haven, and then charges a high price for the use of this “intellectual property.” Doing so, it shifts all of its U.S. profits offshore, avoiding U.S. taxes and bloating its overseas bank account.

Pfizer’s tax dodging prowess has earned it a gold medal in the sport, but it has also drawn unwanted attention from the Securities and Exchange Commission. The SEC wrote to Pfizer last year asking them to explain four years of large losses in their U.S. operations despite reporting about 40 percent of their sales on American soil. Undeterred by the SEC investigation, Pfizer added a fifth year of U.S. losses to the string in 2012.

Imagine for a moment one of the physicians that prescribes Pfizer’s products taking their diploma off their office wall, carefully packing it up, and shipping it to a bank vault in the Cayman Islands. That diploma represents the doctor’s intellectual property. Without it, they would not be able to practice their profession.

After each visit, patients approaching the check-out desk would be given their bill and an envelope to mail their check to a post office box in the Cayman Islands. Faced with confused looks, the receptionist cheerfully explains, “Well, we have to pay for the use of the skills represented by the diploma, which is housed in the Caribbean.”

The corporate offshore tax dodge that shifts $90 billion of tax expenses onto individual taxpayers this Tax Day is just that crazy. Just like having a doctor’s diploma parked in the Cayman Islands does nothing to improve the quality of care, having corporate profits transferred from America to tax haven nations provides no enhanced benefits in terms of product quality or service. In other words, there is no economic value. It only serves to add more to already-overflowing corporate coffers.

In the 1950s, corporations paid nearly a third of the federal government’s bills. Last year, thanks to the antics of Pfizer and other examples of overly creative accounting, corporate income taxes accounted for less than a tenth of Uncle Sam’s total revenue. This dramatic shortfall shows up in two ways — federal budget deficit growth and the growing trend of individual taxpayers paying an increased share of the costs of government.

Only about two in every thousand American businesses are even eligible to play this game, and far fewer actually do. Most business owners are proud to pay taxes they know support schools, good infrastructure, and national security.

If tax-dodging corporations were people, they might say thanks to the responsible taxpayers who are picking up their share of unpaid taxes. But since they aren’t human, allow me to say on their behalf, “Have a Nice Tax Day.”

This work is licensed under a Creative Commons License

Scott Klinger is an Associate Fellow at the Institute for Policy Studies

But conservatives keep claiming that taxes are too high and are preventing economic growth. Unlike the years following the new Deal and up through the 1970s, when corporations were somewhat responsible about the social contract between workers and consumers, now they let the workers have the crumbs and corporate plutocrats take must of the pie. And big institutional investors get a big share too. On the other hand workers are more productive than ever yet their wages are not keeping up with inflation. Our roads, bridges, cities and schools could use some infrastructure improvement, but that is slow in coming because conservatives, who caused the deficit and the recession, say the deficit is more important than rising revenue. 

Tuesday, April 2, 2013

Real Patriots Do Not Lie About Food Stamps












Real Patriots Do Not Lie About Food Stamps

As you probably know, complaints about the size and cost of the food stamp program (now known as SNAP, for Supplemental Nutrition Assistance Program) has become an ever-more-prominent part of the conservative argument that America is awash in redistributive "welfare" spending (they can't much make that case about cash assistance any more). It was no accident that during his 2012 presidential campaign, Newt Gingrich called Barack Obama the "food stamp president." That's now a quasi-racial appeal along the lines of the old "welfare queen" smear.

Just today, the Wall Street Journal had a report [2] on rising SNAP costs, with the provocative title, "Use of Food Stamps Swells Even as Economy Improves," with the planted axiom being that there should be an inverse relationship between food stamps and the unemployment rate.

But as Jordan Weissmann points out [3] at The Atlantic, that's a false premise:

    [R]epeat after me: There are record numbers of Americans on food stamps today because there are record numbers of Americans in poverty (records begin in 1959.)

    As of 2011, there were 46.2 million men, women, and children living below the U.S. poverty line. There isn't much reason to believe that the last year of mediocre job growth has dented that number. And until it plunges, the food stamp rolls are going to stay full -- plain and simple.

One might add that it's more than a bit hypocritical for Republicans to deride reductions in the unemployment rate as meaningless while simultaneously complaining that counter-cyclical assistance programs should be shedding beneficiaries. But it's all kinda beside the point:

    Of all the social welfare programs the U.S. has, we should probably be worrying about food stamps the least. Its beneficiaries are overwhelmingly needy. In 2010, about 87 percent were at or below the poverty line and almost half were children. Only 3.5 percent had incomes higher than 130 percent of the poverty line. Meanwhile, the program arguably encourages more work by letting unemployed parents take the first job they can find, even if it won't pay enough to feed their family on its own. It's also hyper-efficient stimulus. The money has to be spent instead of saved, meaning it cycles quickly back into the economy.

    Our food stamp rolls are eye popping, but they're not the problem. Poverty is.

This won't be much of an answer to those conservatives who claim that helping poor people is why they are poor in the first place. But that's another issue.

[1] http://www.alternet.org/authors/ed-kilgore-0
[2] http://online.wsj.com/article/SB10001424127887323699704578328601204933288.html?mod=WSJ_hp_mostpop_read
[3] http://www.theatlantic.com/business/archive/2013/03/the-most-important-thing-to-remember-about-americas-food-stamp-boom/274443/
[4] http://www.alternet.org/tags/food-stamps
[5] http://www.alternet.org/%2Bnew_src%2B

Conservatives live in a bubble of lies. It is the only way they can win an argument. That bubble is the world of fake patriotism they must keep going by lying to America and to themselves. It is beyond pathetic. One of the fastest ways to get people off food stamps is to pay them a living wage. Yet the plastic patriots fight increase in wages. America is subsidizing Wal-Mart, Target, Best Buy, grocery store chains with millionaire owners - because they pay their workers so little for an honest day's work, the workers have to get food stamps or Medicaid to eck out an existence. America needs to stand up and tell these blood sucking conservative leeches to start paying back the American workers who made their wealth possible.

Friday, February 15, 2013

Why Does Rep. Marsha Blackburn (R-TN) Hate Hard Working American Families








Why Does Rep. Marsha Blackburn (R-TN) Hate Hard Working American Families

President Obama’s State of the Union proposal to raise the minimum wage to $9 an hour and index it to inflation so that it keeps up with growth in the economy was quickly rebuked by top Republicans like Speaker John Boehner (R-OH) and Rep. Paul Ryan (R-WI), who claim the minimum wage will kill jobs and hurt small businesses.

Tennessee Rep. Marsha Blackburn (R) chose a different reason to oppose the proposal today. A stronger minimum wage, Blackburn said, would negatively affect the ability of young workers to enter the workforce as teenagers, and would prevent them from learning responsibility like she did when she was a teenage retail employee making a seemingly-measly $2.15 an hour in Mississippi:

    BLACKBURN: What we’re hearing from moms and from school teachers is that there needs to be a lower entry level, so that you can get 16-, 17-, 18-year-olds into the process. Chuck, I remember my first job, when I was working in a retail store, down there, growing up in Laurel, Mississippi. I was making like $2.15 an hour. And I was taught how to responsibly handle those customer interactions. And I appreciated that opportunity.



Making $2.15 an hour certainly does sound worse than today’s minimum wage, which federal law mandates must be at least $7.25 an hour. But what Blackburn didn’t realize is that she accidentally undermined her own argument, since the value of the dollar has changed immensely since her teenage years. Blackburn was born in 1952, so she likely took that retail job at some point between 1968 and 1970. And according to the Bureau of Labor Statistics’ inflation calculator, the $2.15 an hour Blackburn made then is worth somewhere between $12.72 and $14.18 an hour in today’s dollars, depending on which year she started.

At that time, the minimum wage was $1.60, equivalent to $10.56 in today’s terms. Today’s minimum wage is equivalent to just $1.10 an hour in 1968 dollars, meaning the teenage Blackburn managed to enter the workforce making almost double the wage she now says is keeping teenagers out of the workforce.
Blackburn is emblematic of the cancerous conservative mindset. She thinks workers are the same thing as Medieval serfs and they should be on their knees in perpetual gratitude that the lords of the manor even let them work.


Sunday, February 3, 2013

Why Do America's Plutocrats Hate Workers? Starbucks Tycoon CEO Howard Schultz Bullies the Baristas
















 Why Do America's Plutocrats Hate Workers? Starbucks Tycoon CEO Howard Schultz Bullies the Baristas

The billionaires peddling austerity have always insisted that they’re in it for the common man. A recent TV ad for Fix the Debt—the well-heeled group demanding that we cut tax rates and Social Security benefits—stars a teacher and a farmer. But Starbucks CEO Howard Schultz did his peers one better: conscripting countless low-wage workers into the austerity army.

....Days before the so-called New Year’s “fiscal cliff” deadline, the Starbucks stunt seized a decent chunk of media attention. Some celebrated its spunk; others slammed its seeming naïveté. A smaller number noted the moral bankruptcy of its premise: that the national debt is a crisis, and one the working class should sacrifice to fix. But in mainstream circles, there was little outrage over what was most outrageous about the Come Together campaign: Starbucks’ decision to draft its employees as a delivery system for austerity.

Schultz’s use of hourly employees was both shrewd and deceptive. Logistics aside, a Come Together message inscribed by a billionaire CEO and printed on coffee cups could never pack the same punch as one that was handwritten by workers making $8-something an hour. Schultz’s blog post was quickly followed by a mass e-mail from Fix the Debt, bragging that “Baristas at Starbucks are showing their support for bipartisan solutions this week.” CEOs hawking “shared sacrifice” are a dime a dozen. A working-class seal of approval is much more valuable, even if—like so much in the American workplace—it’s coerced. (Starbucks assured CNN that workers could decline to participate. But not all who are drafted will risk becoming a conscientious objector.)

As sociologist Arlie Russell Hochschild has observed, and Starbucks has unwittingly reminded us, the service sector is replete with “emotional labor”: not just physical production but interpersonal performance. Workers are paid not only to perform a task but to act out a part—from speaking from a company script, to smiling despite verbal abuse or physical pain, to urging that Congress embrace a deal that could imperil their retirement.

The Come Together episode illustrates the rise of political coercion in the workplace. That trend drew rare attention last year with a series of stories about companies that told their employees whom to vote for (Koch Industries), tracked workers’ political donations (Murray Energy) or warned of layoffs if President Obama was re-elected (Westgate Resorts). In the Citizens United era, companies have even greater freedom to impose their politics on employees, from convening a mandatory meeting devoted to political “persuasion” to firing an employee for affixing the wrong candidate’s bumper sticker to her car.

American law generally protects the freedom of bosses to force their politics on workers, but not the freedom of workers to take independent political action (even outside work) without being fired.

The plutocrats deeply feel that they are doing the peasants a favor by letting them have a job. You know the jobs held by people who make having a business possible, that help generate the millions of dollars that go into the pockets of these modern day Marie Antoinettes.

Monday, January 28, 2013

Cancer on America Paul Ryan(R-WI) Embraces Spending Cuts He Said Would Devastate The Country

























Cancer on America Paul Ryan(R-WI) Embraces Spending Cuts He Said Would Devastate The Country

During an interview on Meet The Press on Sunday, Rep. Paul Ryan (R-WI) predicted that the sequester cuts are “going to happen” and made no concrete proposals for how to avoid the reductions. The tone represents a sharp rhetorical and policy shift for the onetime GOP vice presidential nominee, who warned during the 2012 presidential campaign that the cuts would “devastate” the country and undermine job growth.

“I think the sequester is going to happen,” Ryan said, referring to the $1.2 trillion in automatic spending cuts to the Pentagon and other government agencies that will go into effect unless Congress approves offsets. He charged that Democrats rejected the GOP’s replacement legislation — the bill cut the food-stamp program, slashed Medicaid, undermined funding for the Affordable Care Act and disaster relief — and failed to produce their own alternatives...

many Americans look to Washington and wonder why government does work as well as it could. Look no further than lying hypocrites like Paul Ryan. What does he stand for? Just ask the billionaire Koch brothers - Ryan is the puppet and they pull the strings. When the Koch brothers cry about how hard life it, Ryan starts to cry. They believe in government by and for lazy plutocrats who make their wealth on the backs of working class Americans.

Wednesday, December 5, 2012

Elitist Conservative Corporate Plutocrats talk about shared sacrifice, but the only thing they want to share is your retirement money with their wealthy friends

























Elitist Conservative Corporate Plutocrats talk about shared sacrifice, but the only thing they want to share is your retirement money with their wealthy friends

The Obscenely Rich Men Bent on Shredding the Safety Net

New York magazine calls it [3] a “Mass Movement for Millionaires.” The New York Times' Paul Krugman sums up the idea [4]: “Hey, sacrifice is for the little people.”

The Campaign to Fix the Debt [5] is a huge, and growing, coalition of powerful CEOs, politicians and policy makers on a mission to lower taxes for the rich and to cut Social Security, Medicare and Medicaid under the cover of concern about the national debt. The group was spawned in July 2012 by Erskine Bowles and Alan Simpson, architects of a misguided deficit reduction scheme in Washington back in 2010. By now, the "fixers" have collected a war chest of $43 million. Private equity billionaire Peter G. Peterson, longtime enemy of the social safety net, is a major supporter.

This new Wall Street movement, which includes Republicans and plenty of Democrats, is hitting the airwaves, hosting roundtables, gathering at lavish fundraising fêtes, hiring public relations experts, and traveling around the country to push its agenda. The group aims to seize the moment of the so-called "fiscal cliff" debate to pressure President Obama to concede to House Republicans and continue the Bush income tax cuts for the rich while shredding the social safety net. The group includes Goldman Sachs’ Lloyd Blankfein, JPMorgan Chase’s Jamie Dimon, Honeywell’s David Cote, Aetna’s Mark Bertolini, Delta Airlines’ Richard Anderson, Boeing’s W. James McNerney, and over 100 other influential business honchos and their supporters.

Corporations represented by the fixers have collected massive bailouts from taxpayers and gigantic subsidies from the government, and they enjoy tax loopholes that in many cases bring their tax bills down to zero. Sometimes their creative accountants even manage to get money back from Uncle Sam. For instance, according to Citizens for Tax Justice, Boeing has paid a negative 6.5 percent tax rate for the last decade, even though it was profitable every year from 2002 through 2011.

These CEOs talk about shared sacrifice, but it seems that they don’t intend to share anything but your retirement money with their wealthy friends. As New York mag reports:

    “Most on-the-record comments are a mishmash of platitudes about shared sacrifice and working together for the good of the country. But interviews with a number of organizers and CEO council members point to a massive networking effort among one-percenters — one that relies on strategically exploiting existing business relationships and appealing to patriotic and economic instincts."

As the Fix the Debt gang moves around the country spreading their message, they are starting to attract public protests. On November 27, they were greeted in North Carolina with a rally [6] from NC Progress, which called for an end to the Bush tax cuts for the wealthiest 2 percent and told the group to keep its hands off the middle-class wallet. The fixers are often vague about their mission, and they tend to speak in coded language that conceals their actual goals. Let’s have some blunt talk about what the fixers want to do and why they want to do it – talk you're unlikely to hear in mainstream media supported by corporate advertising.

1. “Fix” means cut: When they say “fix” Social Security, they mean cut Social Security. Fixers want to convince the public that a well-managed, hugely popular program that does not add to the deficit (it’s self-funded) is somehow in crisis and requires intervention in the form of various cutting schemes. They seek this because many of the rich do not want to pay taxes for Social Security, and financiers want very much to move toward privitization of retirement accounts so they can collect fees on such accounts.

2. “Reform” means rob. When the say “reform” the tax code, they mean “make taxes even lower for the rich.” The wealthy do not pay their fair share of taxes in the United States, which is a major reason there is a large deficit in the first place. When the very wealthy pay lower tax rates than ordinary working people, the result is an increasing redistribution of income upward that puts the U.S. in the top 30 percent in income inequality out of 140 nations, according to the Central Intelligence Agency [7]. We’re a shameful #42. Income inequality is not only unfair, it’s dangerous and makes society unstable.

3.“Bipartisan” means all of the rich. Fix the Debt is a pro-business ideological movement pretending to be a bipartisan group of concerned citizens. But the group is really just a coalition for the greedy, unpatriotic rich. There are plenty of financiers and other 1 percenters in the Democratic Party, and some of them have decided to join forces with their GOP counterparts to work toward a goal that means a great deal to all of them: Making the rich even richer.

4. “Concern” means covet. There was a time, a couple of generations ago, when business leaders would not dare to go public with their desire to increase income inequality and stick it to hard-working Americans. When Owen D. Young, CEO of General Electric in the '20s and '40s, spoke to an audience at Harvard Business School in 1927, he emphasized that the purpose of a corporation was to provide a good life not only to owners, but also to employees. Corporations, he said, were meant to serve the larger goals of the nation:

    “Here in America, we have raised the standard of political equality. Shall we be able to add to that, full equality of economic opportunity? No man is wholly free unless he is both politically and economically free.”

Fast forward to 2012: Jeffrey Immelt, the current CEO of GE, is a member of the Fix the Debt Campaign, which is designed to lower the expectations of hard-working Americans. Goldman Sachs honcho Lloyd Blankfein explained this recently in a CBS interview:

     “You’re going to have to do something, undoubtedly, to lower people’s expectations of what they’re going to get, the entitlements, and what people think they’re going to get, because you’re not going to get it.”

5. “Fiscal conservative” means economically confused. Longtime Wall Street executive Steve Rattner, one of Obama’s auto bailout czars, has been using his influence to attract tycoons from the financial industry to the Fix the Debt movement. Over the last year, Rattner has been on a crusade to convince Americans that they should put aside their worries about real crises like unemployment to focus on the deficit. Rattner, like many of his cohorts, poses as a moderate whose thinking is needed to counter the advice of respected economists like Nobel Prize-winners Paul Krugman and Joseph Stiglitz, who have long been warning that defict hysteria is not only counterproductive, but based on a lack of understanding of how the economy actually works.

Political economist Thomas Ferguson, who teaches at UMass Boston and is a senior fellow at the Roosevelt Institute, described the dubious policies the fixers defend:

    “Talk about the audacity of hope! The people who brought you the Great Recession by pushing deregulation and financial leverage to insane dimensions are back. Now they propose to ‘fix the debt’ by throwing average Americans who generously bailed them out in 2008-09 over the fiscal cliff.

    One trusts that even in our money-driven political system, their transparently self-interested nonsense will be firmly rejected. There is no reason why anyone needs to do anything at all about Social Security for a long time; as even Peter Orszag admits in the fine print. It just isn't a driver of the deficit.

    The U.S. does need to reduce its spending on defense and it certainly needs to aggressively contain medical costs. But you do both of those the old fashioned way. In the case of defense, you stop plunging into wars and attend carefully to what actually is needed to defend America. In the case of medical spending, you end ‘fee for service’ schemes that reward endless tests and procedures and you vigorously pursue anti-trust and regulatory remedies. You don't simply cut Americans off from health care. It's ridiculous that we have ‘single payer’ for ailing banks, but not citizens. If you are worried about the deficit, just let tax rates rise back to the levels of the Clinton era, when growth ran far ahead of today's economy, and tax dividends, carried interest, and capital gains at the rates working Americans pay. And don't, absolutely don't, let American companies escape taxation by stashing their money abroad.”

6. "Strip-mining is not leadership." Fixers present themselves as magnanimous, responsible leaders doing what they believe is best for the country. But that’s a tough sell when you’re advocating policies that mainly benefit…yourself.
The way evil works is to shroud itself in nice sounding platitudes. In this case evil uses fine sounding words about God, country and patriotism. Never mind that what these sleazy plutocrats are selling are the opposite of what Jesus preached, has brought the country the worse recession since 1929 and is more about unhinged nationalism and moral corruption than patriotism.