OLYMPIA, Wash. – State government workers say their retirement security is at stake with legislation in the Washington Senate. It would create a new type of 401(k) plan for new hires at state agencies – when the workers contend the state pension system works well and no new plan is needed.
Current retirees kicked into high gear this week, contacting lawmakers to voice their concerns before a Senate vote on the bill, ESSB 5851.
Gwen Rench, president of the Retired Public Employees Council of Washington, says after years on the job, workers want a defined benefit pension to provide a set amount of money – and that isn't how a 401(k) plan works.
"The reason you stay as a public employee is because one of the benefits is being able to have a defined pension at the end of your service,” she points out. “To take that away, you'd probably have more turnover in employees, which isn't exactly saving the state any money."
She says 401(k) plans tend to be riskier investments than traditional pension plans, and that it's easy for people to not save enough, or to raid their own 401(k) for emergencies or unexpected expenses over the years.
Backers of the change say it would save the state money in the long run, but retirees say that’s not so, if they end up having to depend on state safety-net programs as they age.
Rench says her group sees the legislation as the first step in a bigger, national push by corporations to phase out pensions altogether, as an attempt to weaken labor unions.
"I think so, at the national level,” she says. “Yes, when you look at who's behind it – the Koch brothers seem to be some of the ones behind it. I think it's just part of a national plan to get away from having defined benefits."
The Washington Federation of State Employees has predicted adding a 401(k) plan to the state system would make the remaining pension plans less stable. It says Washington's pension system is in the top four best funded in the nation, and doesn't need to be changed.
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A bill vetoed by Virginia Gov. Glenn Youngkin would have raised the state's minimum wage to $15 an hour starting in 2026.
While the bill moved out of committee and the General Assembly, it did so on party-line votes. Youngkin opposed the bill, saying it could hurt small businesses and some restaurants.
Jay Speer, executive director of the Virginia Poverty Law Center, said it was disappointing to see the measure vetoed.
"Wages are way too low. People cannot afford housing and food and everything else," Speer pointed out. "It's a disappointment that they can't raise the minimum wage so people can survive. I mean, it's long overdue."
Passing the bill was part of a 2020 minimum-wage increase requiring a reauthorization to bring it up to $15. A state study found a person has to make at least $14.55 an hour to afford the cheapest place to live while only spending one-third of his or her income on housing. The current minimum wage in Virginia is $12 an hour, but around 500,000 Virginians make $12 or less.
Youngkin also vetoed a bill ending exemptions from Virginia's minimum-wage requirements for farmworkers or temporary foreign workers.
Kim Bobo, executive director of the Virginia Interfaith Center on Public Policy, said it was not as impactful since most farmworkers make more than the minimum wage. But she said the exemption remains for another reason.
"The only reason farmworkers continue to be exempted in Virginia is racism," Bobo contended. "That's why they're exempted. And, we should just change that, like there's no reason not to. It really does not affect that many workers in Virginia."
Youngkin and other legislators with a farming background said the bill would hinder farmers' ability to turn a profit.
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New York restaurant workers need to know their rights to better navigate their workplaces. A new report finds high rates of what it calls "occupational segregation" in the restaurant industry, which can relegate some people to lower-paying jobs.
Workers' rights organizations are counteracting this with training programs. Alima Iskakova, a server for Exquisite Staffing, a catering company, said the CHOW training from Restaurant Opportunities Centers United is helping her.
"Since I completed this training course, I am more confident when it comes to job interviews," she said. "I am more confident - like, when it comes to these types of interviews, plus with all my experience and the knowledge that I got from ROC United, I have a higher income."
She was also trained in safe food handling, OSHA certification and other need-to-know information about the restaurant industry. These courses are available in several cities beyond New York.
The report also notes that, unlike training offered by organizations such as the National Restaurant Association, these courses prioritize developing restaurant workers' power to support individual career development.
The report says racism and sexism abound in the restaurant industry. White men make up a majority of higher-earning positions, such as bartenders.
Although these training courses are helpful, Iskakova noteed that not knowing English can be a disadvantage. She said other cultural differences can make this work challenging.
"In the hospitality industry, even like when people come here as an immigrant, they don't know the rules, they don't know the laws," she said. "And ROC United, they help us to do the cover letter, resume. There are certain things - like, there is a difference."
Another challenge she encountered was the difference between Celsius and Fahrenheit.
Iskakova said her work has been interesting, but she's got ambitions outside of food service. Along with photography, she's a communications major at CUNY.
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With the help of federal aid, Wisconsin is catching up to neighboring states in accelerating clean energy construction projects and the Badger State is taking things a step further by giving union workers greater access to these job opportunities.
Four major utilities operating in Wisconsin recently announced a pledge to hire union workers for clean energy development tied to federal incentives under the Inflation Reduction Act.
Kent Miller, president and business manager of the Wisconsin Laborers' District Council, said it paves the way for a smoother transition to more wind, solar and similar projects.
"With the commitment from the utilities to make sure that the wages and benefits are the same standard as legacy energy, it allows workers to focus on updating their skill sets to meet the needs of the projects, and not worry about, 'Are there concessions in wages and benefits?'" Miller explained.
In earlier phases of renewable energy construction, Miller noted some project leaders focused on bringing in out-of-state, nonunion contractors. As Wisconsin labor organizations now have a seat at the table, Miller stressed the next challenge is getting more advance notice before a project breaks ground, so they ramp up recruiting well ahead of time.
For example, Miller pointed out a utility-scale solar development requires a lot of labor and they want as many people as possible to know about potential openings. He added it includes apprenticeships.
"Somebody could start their apprenticeship career, complete their apprenticeship and become a journey worker through the duration of a utility-scale solar project," Miller stated.
He pointed to the Paris Solar Farm project in Kenosha County, which at its peak, had nearly 150 laborers. Of the apprentices, 70% were women or people of color.
Analysts said the hiring pledge and associated projects could lead to nearly 19,000 construction jobs with prevailing wages.
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