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I can assure you that almost no one I talk to considers the Employee Free Choice Act a big deal. My Partner Todd Jordan has been all over this one. Here’s a ‘must read’ excerpt from his lodging note this morning that has implications across every industry. People in retail (including me) are looking at higher imported inflation, but are they looking at domestic employee wage pressure as unions rebuild after years of shrinkage? You can bet that Wal*Mart is looking seriously at this...
Brian McGough
“We will pass the Employee Free Choice Act. It’s not a matter of if, it’s a matter of when.” – Barack Obama

“Madam Speaker, I rise today in support of the Employee Free Choice Act, because the right to organize is essential to the path to prosperity for all Americans.” – Speaker of the House Nancy Pelosi

“Every single Senator ought to support this bill.” – Senate Majority Leader Harry Reid

These quotes should remove any doubt. If Obama is elected President, the Employee Free Choice Act will become law. Whether or not the removal of secret ballots in deciding union elections makes employees more free is not important. Since 1989, unions have contributed almost $500 million to political campaigns. Over 90% of that cash has gone to Democrats. The favor will be paid back by an Obama administration and a Democratic congress.

So what does this mean? The elimination of secret ballots will make it much easier to unionize. Secret ballots are the cornerstone of any modern democracy for a reason. People can vote without the pressure that an open petition would apply. More unions = higher wages and benefits for hotel, casino, and leisure companies to name just a few.

Todd Jordan
Managing Director