Labor Union

Michigan State AFL-CIO

Location:

LANSING, MI

Tax ID:

38-0830700

Tax-Exempt Status:

501(c)(5)

Budget (2016):

Revenue: $1,750,914
Expenses: $1,743,644
Assets: $1,293,874

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The Michigan American Federation of Labor-Congress of Industrial Organizations (MI AFL-CIO) is an umbrella organization for left-of-center labor unions and a lobbying organization made up of numerous local and national unions. The MI AFL-CIO claims to represent over 1,000,000 active and retired members of 59 unions throughout Michigan, which include both government-worker and private-sector unions. 1

The Michigan AFL-CIO conducts activities in coordination with the national AFL-CIO, the largest federation of labor unions in the country. The MI AFL-CIO does not directly represent workers in negotiations but rather instructs its members how to vote in order to support left-progressive political candidates and policies and lobbies for state laws, regulations, and state constitutional amendments that provide unions with advantages over employers or nonunion employees. 2

History of Organized Labor in Michigan

Government Union Bargaining and the Union Shop

The American Federation of Labor and the Congress of Industrial Organizations merged in 1955 to create the largest association of labor unions in the country. 3 At their height, unions represented up to 45 percent of Michigan’s workers and were a dominant force in the state’s politics. 4

In 1965 Michigan Governor George Romney (R) signed a law granting government worker unions collective bargaining power. 5  State law also supported “union shop” agreements that required employees to financially support unions upon employment until a 1977 U.S. Supreme Court ruling, Abood v. Detroit Board of Education, invalidated part of that requirement. Nonunion employees in the public sector would still be required to fund union activities related to “collective bargaining, contract administration, and grievance adjustment purposes,” but not activities deemed explicitly political. 6

Decline in Membership

The percentage of unionized workers in Michigan began a steady decline and by 1989 only 26 percent of Michigan workers were part of a labor union, although not necessarily part of the MI AFL-CIO. By 2019, only 13.6 percent of Michigan workers were unionized. 7

Financial Crises and Legislative Reforms

Pension benefits promised to unionized public employees became increasingly financially unsustainable, and by the time of the 2007 Great Recession, many states faced a fiscal crisis. 8 In Michigan, the crisis affected state, public school, and local government employee pension plans. 9

The public union employee pension crisis was a significant factor in the declaration of financial emergencies in several Michigan cities, resulting in the state appointing “emergency financial managers” in the cities of Flint, Pontiac, Benton Harbor, Hamtramck, Ecorse, and eventually Detroit. 10  Despite the appointment of an emergency manager, Detroit declared bankruptcy in 2013. 11

Michigan’s Republican-majority legislature responded to the pension crisis by enacting a series of laws in 2011 and 2012 intended to reduce the cost of government-worker union pensions and other benefits. The reforms included restricting pay hikes for most public employees that were automatically awarded between the expiration of a union contract and the enactment of a new contract12 and requiring government employees to contribute at least 20 percent to their retirement plans. 13 Additionally, a new law strengthened appointed emergency financial managers, allowing them to alter or end union contracts in municipalities and school districts facing potential bankruptcy. 14

The legislature passed several other reforms strongly opposed by unions, including laws prohibiting “project labor agreements” that required publicly funded construction projects to pay union labor rates. Another new state law required public schools to consider the individual effectiveness of teachers when laying off instructors instead of basing layoffs exclusively on seniority. 15 Legislation was also passed prohibiting taxpayers from being required to pay for the cost of collecting union dues on behalf of government worker unions. 16

Proposal 2 of 2012

The Michigan AFL-CIO, other union labor groups, and Democratic Party strategists responded to the Republican reforms by attempting to amend the Michigan State Constitution in 2012. Supporters of the proposed constitutional amendment collected sufficient petition signatures to qualify for the November 2012 ballot and the measure was designated Proposal 2. 17

Proposal 2 would invalidate many of the new labor laws passed in 2011 and 2012. In addition, the proposed amendment would overrule other existing laws opposed by labor unions, enshrine preferred union labor policies in the state constitution, and block future policies opposed by labor unions, most notably any future efforts to make Michigan a “right to work” state that allows workers the option of not joining or financially supporting a union. 18 19

Proposal 2 in Michigan was also intended to serve as a blueprint for labor unions in other states.  National AFL-CIO president Richard Trumka told reporters he thought Proposal 2 would pass and said labor would look to build on that success in other states, saying, “It’s important and if it is successful, and I believe it will be, then we will continue to make efforts like that. I think the American public, in a state after state, where it’s actually talked about, collective bargaining, has overwhelmingly supported it.” 20

The Proposal 2 campaign became the most expensive ballot question campaign in Michigan history. Labor unions across the nation contributed toward the ‘yes’ vote effort while business groups spent a nearly identical amount trying to defeat it.  The AFL-CIO State Unity Fund was the third-highest contributor in support of the proposal, spending $1.8 million. 21

Supporters promoted the measure as protecting higher wage jobs while opponents portrayed it as a labor union power grab that would make it impossible to regulate excesses in labor union contracts. The free-market state think tank, the Mackinac Center for Public Policy, opposed the measure and exposed excesses in union contracts during the campaign. One such exposure that gained attention was a union contract for the Bay City Public Schools, which allowed teachers to come to school drunk five times or be caught selling drugs to students twice before they could be fired. 22

Proposal 2 was rejected by voters by a 58% – 42% margin, with both sides spending about $45 million. 23

The labor union defeat garnered national attention and AFL-CIO leaders struggled to explain the loss. National AFL-CIO political director Michael Podhorzer said the result showed that people are, “reticent about (amending) the state constitution” and that, “There were a lot of negative ads.” 24

Polling by the Detroit Free Press revealed 25% of Democratic voters and 33% of union-member households joined a majority of Republican and independent voters to vote against Proposal 2. 25 Those results were consistent with national polling in 2012 by the Pew Research Center that found 64% of Americans had a favorable impression of labor unions, yet 57% of those polled believed that “labor unions have too much power.” 26

Right-to-Work Debate

Proposal

The failure of the Michigan AFL-CIO-backed Proposal 2 greatly emboldened advocates of making Michigan a right-to-work (RTW) state, which would allow individual workers to choose to drop out of a union and refrain from paying union dues. 27

Prior to Prop. 2’s defeat, Michigan Governor Rick Snyder (R) had vocally opposed RTW. After the Proposal 2 effort, Snyder stated he would sign right-to-work legislation. 28 The Republican executive of Michigan’s second-largest county, Oakland County Executive L. Brooks Patterson, said Michigan’s drive for right-to-work appeared motivated by Michigan AFL-CIO and other unions’ push for Proposal 2, which he called “a greedy move” and stated, “I don’t know where any union has gone that far in any state.” 29

Greg McNeilly, who led Michigan Freedom Fund, a conservative-leaning PAC that supported a right-to-work law, told The Washington Post that Proposal 2’s failure emboldened Republicans. “Bob King put this on the agenda,” McNeilly said, referencing the then-president of the United Auto Workers. “He threatened this state. He tried to bully and intimidate the state with this disastrous proposal that was so bad a majority of his members didn’t even back it. The whole state had a conversation. They lost.” 30 State Senate Majority Leader Randy Richardville (R) believed the governor was forced to consider RTW because unions had pushed Proposal 2. 31

The Republican Party had retained majorities in both the state House and Senate despite President Barack Obama winning Michigan during his 2012 reelection campaign.  Ever since neighboring Indiana became a right-to-work state in February of 2012,32 labor unions expressed concern that Michigan would follow suit. 33 Within a month of Proposal 2’s failure, Governor Snyder announced that right-to-work was “on the agenda.” 34

The time between Governor Snyder’s announcement that right-to-work was being considered and its enactment into law was short and intense. In the week between Snyder’s announcement and passage of right-to-work legislation into law, thousands of demonstrators were bused to Michigan’s Capitol Building in Lansing by labor unions. 35 36

State troopers in riot gear attempted to keep order, with limited success. According to multiple media reports, labor union-aligned protestors broke into state buildings, attempted to pull a state trooper off her horse and into the crowd, and engaged in fist fights with right-to-work supporters. 37

A hot dog vendor had his catering equipment destroyed by union protestors and was racially taunted, according to the vendor’s wife. A Fox News reporter was allegedly punched in the face. Both the reporter and the hot dog vendor chose not to press charges. 38

A tent set up on the State Capitol lawn by Americans For Prosperity-Michigan, a right-of-center group supporting right-to-work, was attacked and dismantled by union activists. Several people in wheelchairs were trapped under the destroyed tent. Police officers attempting to rescue the trapped individuals were blocked and heckled by union protesters, but were able to help the victims escape safely. 39 40

The conflicts resulted in periodic shut downs of the State Capitol Building due to overcapacity and concerns for public safety. 41

The right-to-work legislation quickly moved through both the House and the Senate. On December 11, Governor Snyder signed right-to-work into law. 42

Lawsuit Challenges

The Michigan State AFL-CIO was a lead plaintiff in a lawsuit filed in February of 2013 against members of the Michigan Employee Relations Commission, then-state Attorney General William Schuette (R), Wayne County Prosecutor Kym Worthy, and the Acting Director of the Michigan Department of Licensing and Regulatory Affairs. The Michigan AFL-CIO alleged the right-to-work law was unconstitutional and violated federal labor relations laws. 43

In 2013, the Michigan Court of Appeals, in a 2 to 1 decision, rejected the unions’ claims and ruled that the right-to-work law was constitutional. The Michigan AFL-CIO appealed that decision to the Michigan Supreme Court, which reaffirmed the lower court decision in 2015. 44

The Michigan AFL-CIO also participated in a lawsuit filed in January of 2013 by the American Civil Liberties Union that alleged Michigan’s right-to-work law was invalid because police had restricted access to the State Capitol during passage of the law. 45 46 The Michigan Court of Claims dismissed the lawsuit in 2015, ruling that the unions and ACLU failed to present enough evidence. 47

Activities

Candidate endorsements

The Michigan State AFL-CIO primarily engages in coordination of lobbying and political campaign activities for a consortium of labor unions in Michigan. The organization almost exclusively endorses and supports Democratic Party candidates. 48 49

The MI AFL-CIO has never endorsed a Republican candidate for president. 50 In 2016, the MI AFL-CIO endorsed Democrat Hillary Clinton for president. Post-election polling shows Clinton received 57% of the vote among union households in Michigan and Republican Donald Trump received 42%. Democrat Barack Obama received 68% support from union households in 2012. The increase in Trump’s support from union households in Michigan is considered a key factor in Trump’s narrow victory in Michigan in 2016. 51

Mandatory Unionization of Marijuana Industry

In 2019, the Michigan United Food and Commercial Workers, an member union of the MI AFL-CIO,52 began lobbying to require unionization of the emerging legalized marijuana industry in Michigan.  The unions are supporting Michigan Governor Gretchen Whitmer’s (D) Department of Licensing And Regulatory Affairs effort to impose a rule governing marijuana licensing that mandates all applicants enter into a “labor peace agreement” with the state. All applicants for marijuana industry licenses would have to be a member of “a bona fide labor organization” in order to receive a state license. This regulation may circumvent Michigan’s right-to-work law through a licensing rule that rejects non-unionized licensees. 53 54

International trade agreement

The Michigan State AFL-CIO supported President Donald Trump’s replacement of the North American Free Trade Agreement (NAFTA) with the United States-Mexico-Canada Agreement (USMCA) in December 2019. 55 The USMCA, generally regarded by trade analysts as more protectionist and labor-union-friendly than the NAFTA it is replacing,56 requires automakers to manufacture vehicles with 75% of their components made in North America, an increase from NAFTA’s requirement, and also requires 40% to 45% of vehicle components to be built by workers earning at least $16 an hour. 57

Funding

The Michigan State AFL-CIO is a 501(c)(5) labor organization that had $1,566,219 in total revenues and $1,612,532 is expenses in 2017. The majority of expenses ($1,172,343) were spent on employee salaries and benefits. 58

People

Ron Bieber

Ron Bieber is the president of the Michigan State AFL-CIO. He is the son the son of former United Auto Workers president Owen Bieber. 59

Daryl Newman

Daryl Newman is the secretary-treasurer of the Michigan State AFL-CIO and the former political director of the Michigan Democratic Party. 60

Stephanie Glidden

Stephanie Glidden is the director of government affairs of the Michigan State AFL-CIO. She is a former senior staffer and regional field director for Democratic Party candidate Gretchen Driskell’s unsuccessful campaign for Congress. 61

Micheal Davis

Micheal Davis is the political director of the Michigan State AFL-CIO and a progressive-left activist. 62

Derek Dobies

Derek Dobies is the chief of staff of the Michigan State AFL-CIO.  He is currently the mayor of the City of Jackson, Michigan; was a former Jackson city council member; and was a staffer for former U.S. Rep. John Dingell (D-MI). 63

References

  1. Michigan American Federation of Labor-Congress of Industrial Organizations. Miaflcio.org. “About”. Accessed March 1, 2020.  http://miaflcio.org/about/
  2. Michigan American Federation of Labor-Congress of Industrial Organizations. Miaflcio.org. “About”. Accessed March 1, 2020.   http://miaflcio.org/about/
  3. Encyclopedia Britannica. Britannica.com. “American Federation of Labor–Congress of Industrial Organizations”. “Merger Of The AFL And The CIO”. Accessed March 1, 2020. https://www.britannica.com/topic/American-Federation-of-Labor-Congress-of-Industrial-Organizations

  4. Sugrue, Thomas J. “Workers’ Paradise Lost”. New York Times. December 13, 2012. Accessed February 28, 2020. https://www.nytimes.com/2012/12/14/opinion/union-power-wanes-in-michigan.html
  5. Sugrue, Thomas J. “Workers’ Paradise Lost”. New York Times. December 13, 2012. Accessed February 28, 2020. https://www.nytimes.com/2012/12/14/opinion/union-power-wanes-in-michigan.html
  6. Encyclopedia Britannica. Britannica.com. “Abood v. Detroit Board of Education”. Accessed March 1, 2020. https://www.britannica.com/event/Abood-v-Detroit-Board-of-Education
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  10. Egan, Paul. “Michigan without state-appointed emergency managers for first time in 18 years”. Detroit Free Press. June 27, 2018.  Accessed March 1, 2020. https://www.freep.com/story/news/local/michigan/2018/06/27/michigan-without-emergency-managers-first-time-18-years/737821002/
  11. Pierog, Karen. “Timeline: A history of Detroit’s fiscal problems”. Rueters. December 10, 2014. Accessed March 1, 2020. https://www.reuters.com/article/us-usa-detroit-bankruptcy-timeline/timeline-a-history-of-detroits-fiscal-problems-idUSKBN0JO1YW20141210
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  13. Luke, Peter. “Michigan Senate passes bill requiring public workers to pay 20 percent of health insurance premiums”. MLive. May 18, 2011. Accessed March 1, 2020. https://www.mlive.com/politics/2011/05/michigan_senate_passes_bill_re.html
  14. Associated Press. “Controversial emergency financial manager bill headed to Michigan Gov. Snyder’s desk”. MLive. March 16, 2011. Accessed March 1, 2020. https://www.mlive.com/politics/2011/03/bill_expanding_emergency_finan.html
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  21. Michigan Campaign Finance Network. Mcfn.org. “Ballot committees have raised $141 M”. October 29, 2012. Accessed March 1, 2020. http://www.mcfn.org/node/167/ballot-committees-have-raised-141-m
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  27. Haglund, Rick. “Next up after Proposal 2 defeat: Right to Work bill?”. MLive. November 8, 2012. Accessed March 2, 2020. https://www.mlive.com/politics/2012/11/bid_to_head_off_right_to_work.html
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  30. Riley, Theresa. “How Michigan’s Right-To-Work Law Came to Be”. Moyers. December 11, 2012. Accessed March 1, 2020. https://billmoyers.com/2012/12/11/how-michigans-right-to-work-law-came-to-be/
  31. Martin, Tim. “Michigan Gov. Rick Snyder: Right to work ‘on the agenda’ but no decisions made”. MLive. December 4, 2012. Accessed March 1, 2020. https://www.mlive.com/politics/2012/12/michigan_gov_ricksnyder_right.html
  32. Guyett, Susan. “Indiana becomes 23rd “right-to-work” state”. Rueters. February 1, 2012. Accessed March 1, 2020. https://www.reuters.com/article/us-unions-indiana-righttowork/indiana-becomes-23rd-right-to-work-state-idUSTRE81018920120201?feedType=RSS&feedName=wtMostRead
  33. Derringer, Nancy. “Genesis of Prop 2 found in Right to Work debate”. Bridge Magazine. October 18, 2012.  Accessed March 1, 2020. https://www.bridgemi.com/michigan-government/genesis-prop-2-found-right-work-debate
  34. Martin, Tim. “Michigan Gov. Rick Snyder: Right to work ‘on the agenda’ but no decisions made”. MLive. December 4, 2012. Accessed March 1, 2020. https://www.mlive.com/politics/2012/12/michigan_gov_ricksnyder_right.html
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  38. Howell, Brandon. “Police: No charges filed by Lansing hot dog vendor who alleges he was taunted racially, had property damaged in right-to-work protest at Michigan Capitol”. MLive. December 12, 2012. Updated January 20, 2019. Accessed March 1, 2020. https://www.mlive.com/lansing-news/2012/12/police_no_charges_filed_by_lan.html
  39. Oosting, Jonathan. “Michigan right to work: Tensions rise as Americans For Prosperity tent falls outside Capitol”. MLive. December 11, 2012. Updated January 20, 2019. Accessed March 1, 2020. https://www.mlive.com/politics/2012/12/michigan_right_to_work_tension.html
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  58. Michigan State AFL-CIO, Return of Organization Exempt from Income Tax (Form 990), 2017. Accessed March 1, 2020. https://apps.irs.gov/pub/epostcard/cor/380830700_201712_990O_2018101215784094.pdf
  59. Michigan American Federation of Labor-Congress of Industrial Organizations. Miaflcio.org. “Who We Are”. “Our Team”. “Ron Bieber”. Accessed March 1, 2020. http://miaflcio.org/team_item/ron_bieber/#more-457
  60. Michigan American Federation of Labor-Congress of Industrial Organizations. Miaflcio.org. “Who We Are”. “Our Team”. “Daryl Newman”. Accessed March 1, 2020. http://miaflcio.org/team_item/daryl-newman/#more-455
  61. Michigan American Federation of Labor-Congress of Industrial Organizations. Miaflcio.org. “Who We Are”. “Our Team”. “Stephanie Glidden”. Accessed March 1, 2020. http://miaflcio.org/team_item/stephanie-glidden/#more-3584
  62. Michigan American Federation of Labor-Congress of Industrial Organizations. Miaflcio.org. “Who We Are”. “Our Team”. “Micheal” Davis”. Accessed March 1, 2020.http://miaflcio.org/team_item/micheal-davis/#more-451
  63. Michigan American Federation of Labor-Congress of Industrial Organizations. Miaflcio.org. “Who We Are”. “Our Team”. “Miles Baker”. Accessed March 1, 2020. http://miaflcio.org/team_item/miles-baker/#more-453

Directors, Employees & Supporters

  1. David Hecker
    Member, Executive Council
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Nonprofit Information

  • Accounting Period: December - November
  • Tax Exemption Received: May 1, 1956

  • Available Filings

    Period Form Type Total revenue Total functional expenses Total assets (EOY) Total liabilities (EOY) Unrelated business income? Total contributions Program service revenue Investment income Comp. of current officers, directors, etc. Form 990
    2016 Dec Form 990 $1,750,914 $1,743,644 $1,293,874 $5,025,611 N $288,869 $1,447,772 $197 $220,373
    2015 Dec Form 990 $1,597,922 $2,212,507 $1,207,527 $4,946,534 N $138,998 $1,406,687 $191 $231,099 PDF
    2014 Dec Form 990 $1,663,343 $1,315,738 $1,034,566 $4,158,988 N $237,739 $1,414,654 $178 $221,103 PDF
    2013 Dec Form 990 $1,597,508 $1,878,672 $933,264 $4,405,291 N $254,716 $1,306,902 $276 $220,882 PDF
    2012 Dec Form 990 $1,447,738 $1,417,453 $706,131 $3,896,994 N $214,119 $1,204,969 $366 $227,871 PDF
    2011 Dec Form 990 $1,410,892 $1,895,518 $767,849 $3,988,997 N $99,286 $1,255,208 $1,309 $51,210 PDF

    Additional Filings (PDFs)

    Michigan State AFL-CIO

    419 S WASHINGTON SQ STE 200
    LANSING, MI 48933-2124